100 Level

Which ETFs To Use When Constructing A New Portfolio

Which ETFs do I recommend for different asset classes when putting together that first portfolio?  The first move is to decide which asset classes to use.  Twenty-five months ago I posted this Asset Allocation blog and little has changed over that time.  One error in the table is the position of VEA.  That ETF should be included in the Developed International Equities box rather than the Emerging … [Read More...]

Fundamental Principles for Constructing a Portfolio

The "science" of portfolio construction requires numerous fundamental principles.  Long-term portfolios call for an orientation toward return or growth through proper diversification.  Growth needs to be tempered so as to handle times of recession, deflation, and inflation.  As described in the Harry Browne "Permanent Portfolio" one needs to prepare for the four stages of the market; prosperity, … [Read More...]

300 Level

TLH Spreadsheets

Below are links to the seven spreadsheets available to Platinum members. … [Read More...]

“Creme List” for January 14

  "Creme List" of Stocks Platinum members will find few changes in the "Creme List" this week.  Coach (COH) is back on the list, but otherwise, no significant changes. If you are running QPP portfolio analysis, adding three to five of these high quality companies will frequent increase the overall diversity and elevate the Diversification Metric. … [Read More...]

200 Level

Five Essential Financial Directives

Five Essential Financial Guidelines   1) Pay down credit card debt and never, ever borrow from a bank using a credit card. There is no way you will earn as much year after year through investments as you are paying interest on credit card debt. Simply put, pay off the credit card balance in full each month. There is no interest rate to hate as much as credit card interest. 2) Save as … [Read More...]

Rule #10: Control Retirement Portfolio Expenses

Regardless what type of portfolio you are overseeing, holding down expenses is essential to building a strong base for the retirement years.  Take the Schrodinger Portfolio as an example.  This portfolio was launched twelve years ago.  "Reorganizing" the Schrodinger reduced expenses by 200 basis points.  As an added boost, the performance immediately improved as the portfolio initially was … [Read More...]

400 Level

Delta Factor: Three-Year Analysis Projects Grim Market Ahead

Yesterday I uploaded a "Delta Factor" data table using four years of historical data.  Today I am posting another table.  I added a few ETFs, but the main difference is that I am using three instead of four years of historical data.  Note the major difference in the projections for the future.  All the red is due to the analysis beginning with the market in steep … [Read More...]

Using the Ranking Spreadsheet as a Timing Tool

This Post is in response to a comment from a member concerning whether the Ranking Sheet (and Momentum Percentage) might be useful as a general market timing tool for different markets (e.g. US Equities, non US Equities). As suggested by the member, I've setup the spreadsheet with only 4 ETFs, US Equities (VTI), Developed Markets ex-US (EFA), Emerging Markets ex US (VWO) and (the inevitable) … [Read More...]