100 Level

Passive Management: The Six Step Process

The following six steps provide investors with an outline for organizing and monitoring a portfolio.  Specific details of implementing these guidelines can be found by tracking one of the ITA Portfolios. 1.  Determine the portfolio objectives.  Consider the following as possible reasons for constructing the portfolio. Is this a retirement portfolio? Is it a higher education … [Read More...]

Blog Clues For New Users

If you are new to ITA Wealth Management and are having some difficulty finding your way around the blog, here are a few hints. 1) I just introduced a new Category which you will find in the right sidebar.  Open up the Categories pull-down menu and look for Free Information under Level 100.  Only a few of the free blog posts are identified, but this will get you started. 2) A good way … [Read More...]

300 Level

QPP Analysis of Conservative Portfolio

One of the services for Platinum members is to run an evaluation of their portfolio, and this is such an analysis.  Readers will see the Quantext Portfolio Planner (QPP) projections for a portfolio that holds several Canadian ETFs.  One note of interest.  The VSB.TO does not have a three-year record, so that will skew the results, particularly since 20% of the portfolio is allocated to that … [Read More...]

Einstein Portfolio Review: 6 February 2012

Review time is here again for the Einstein Portfolio.  Examining the Dashboard or Asset Allocation plan, shown below, is the first task when updating or reviewing a portfolio.  Actually, I check the broker account to make sure all transactions are current.  While it took a little time and patience, the portfolio is now in balance with exception of Small-Cap Growth, and that asset … [Read More...]

200 Level

Portfolio #1: Ages 15 – 25

Portfolio #1 emphasizes simplicity.  This is a starter portfolio for young investors who have little to save, but want to begin putting together a core portfolio to build on in later years.  It is extremely simple in that it holds only four asset classes. While the projected return is relatively high based on our S&P 500 projection of 7%, the 9.2% return comes with a high projected … [Read More...]

Optimization Correction For 12 ETF Portfolio

Here are the following assumptions I used to create the portfolio shown below.  1)  The S&P 500 is assumed to grow at 7% per year.  This percentage is adjusted by setting the Delta Return to -3.3% inside the QPP software.  2) I used five years of data running from 2/6/2008 through 2/6/2013.  3) The Solver Parameters are listed below. The following material is not available for publication … [Read More...]

400 Level

New Feature: ETF Evaluation Model

ETFs Positioned to Buy The following data table is something new, although I did mention the possibility I would be putting together such an ETF evaluation.  In the following table I've combined a number of variables such as the 195-Day EMA and Chaikin Money Flow and quantized them into a percentage that you see in the right-hand column.  Platinum membership available for $5.00 per … [Read More...]

International “Delta Factor” Projections

Responding to a request to show the "Delta Factor" projections for international ETFs, here we have a much more interesting set of results.  As the reference for DF projections, I use EFA, the international iShares ETF. The following material is not available for publication elsewhere on the Internet. … [Read More...]