100 Level

Rule #9: Understand Benefits of Social Security

Rule #9 is to understand the benefits of Social Security (SS).  This logic is based on the assumption SS will be operational for years to come.  To make this possible, all congress needs to do is write one line of code into law.  "Remove the cap from Social Security and do nothing else."  That will save SS for those most in need of this leg of the retirement stool.  The other legs are represented … [Read More...]

Strategic Asset Allocation Plan – Step #3

Step #1: Begin a saving plan. This is key to all that follows.  Remember "The Golden Rule of Investing." Save as much as you can as early as you can. Step #2: Select the asset classes you wish to use to construct the portfolio. The table below suggests using either the "Big Six" or "Big Nine" U. S. equity classes plus Cash, Bonds, International (developed), … [Read More...]

300 Level

Euclid Portfolio Update: 5 November 2012

Thirty-two days passed since the last review of the Euclid Portfolio and during that time, DBC, one of the commodity holdings dropped in price so that it is now below the 195-Day Exponential Moving Average.  Since Euclid is one of the ITA Risk Reduction (ITARR) model portfolios, it is time to sell DBC and wait for the price to move above its 195-Day EMA.  As Platinum readers can see from the … [Read More...]

Newton Portfolio Review: 20 March 2012

It is again time to check in on the Newton Portfolio.  The following Dashboard shows the Strategic Asset Allocation plan for the Newton, and nearly all the asset classes are in balance.  I am not concerned about the under-target in international bonds as it is counter balanced by overweight in domestic bonds. Portfolio Performance:  Readers who have been following the Newton can … [Read More...]

200 Level

Portfolio Performance Data: 2 September 2011

Due to migrating the ITA Wealth Management blog from one hosting site to another, I lost the Portfolio Performance data table for last week.  In the process of updating the table this week I observed changes over a two week period instead of the normal one week interval.  All stocks made absolute gains over the last two weeks, but lost ground on a relative scale.  In other words, … [Read More...]

Newton Portfolio Review: 9 August 2011

Review of the Newton Portfolio was moved forward as shares of VEU, VBR, VOT, and VOE were purchased last week.  Dividends also came in from EMB, TLT, BND, HYG, and TIP.  Below is the current Strategic Asset Allocation plan for the Newton.  The ETF additions were purchased in such small amounts that asset classes remain under target.  This is an intra-day Dashboard.  I … [Read More...]

400 Level

ITA Ratio Introduced

As I wrote in an earlier comment, I am moving from the Sortino ratio over to what I call the ITA ratio.  Let me go into detail as to why I am making the change.  I will explain how the new ITA ratio is calculated and how it will be programmed into later versions of the TLH spreadsheets.  It is not going to be all that difficult to make the change so stick with me. Before I launch … [Read More...]

Risk Management: Benefits of the ITA Risk Reduction Model

Platinum members who employ the ITA Risk Reduction model will find the following guidelines of interest.  When your portfolio comes up for review, and I recommend using a 32-Day review period, run through a number of steps.  Before I get to the steps, here are the reasons for selecting the 32-Day interval. It slowly rotates the review through the month rather than always having it occur at the … [Read More...]