100 Level

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...]

QPP Analysis of Suggested ETFs

In the following analysis I show the make up of the suggested tickers.  VSS and MLPI did not have three-year records so I cut them from the list.  In the first slide I show the makeup of the portfolio using nearly equal percentages for each ETF.  In the second slide I show the "Delta Factor" projections using a four-year time span.  The third slide shows the … [Read More...]

300 Level

TLH Spreadsheet Audio Clips

To accurately track and monitor the performance of your portfolio, as well as several benchmarks, I highly recommend each investor seriously consider learning how to implement the Thomas-Lalla-Herr (TLH) spreadsheet.  Below are a number of audio/video help sessions that will answer many of your questions.  If you are still puzzled, post issues in the Comments section of any blog entry … [Read More...]

Bohr Portfolio Update: 5 January 2012

Shares of VTI and VWO were purchased this morning and additional limit orders are in place in an effort to bring the under-target asset classes back into balance.  Platinum members will note that emerging markets and international REITs are significantly under the target percentages.  I'm not in a big hurry to fully populate these asset classes with VWO and RWX as the ETFs are priced … [Read More...]

200 Level

Disadvantages of Passive (Index) Investing: Are There Any?

The arguments in favor of passive investing are far too compelling to completely ignore.  If there are any disadvantages, what are they? 1.  At one time the availability of passive or index funds were limited, particularly in certain asset classes.  Availability of index funds is no longer a problem as ITA readers know.  We can find an index ETF to fill every asset … [Read More...]

Update of Schrodinger Portfolio: 20 January 2012

The Schrodinger Portfolio was scheduled for an update yesterday, but I got caught up in activities surrounding the Madison Portfolio, one of the ITA Risk Reduction portfolios.  Long-time readers know the Schrodinger as the most passively operated portfolio I track.  It is rare we make a trade in this eleven-year portfolio.  Platinum readers can see the asset allocation plan in the … [Read More...]

400 Level

Preparing the Maxwell for TAA Action

Platinum members interested in the quantitative approach to improving returns and reducing portfolio uncertainty for the Maxwell take note.  This morning shares of VTV and VOE were sold making room for VTI, VEU, VWO, VNQ, and RWX.  Check out the asset allocation plan below for this portfolio. … [Read More...]

Portfolio Risk: How To Manage It With Care

Managing Portfolio Risk* Risk is one of the least understood concepts when it comes to investing, so it is time we insert some discussions into the mix of portfolio construction. I am going to quote Mark Hebner and link to his outstanding web site frequently as he does an excellent job of describing and defining risk. Let us first begin with a definition of Standard Deviation (SD) as it is … [Read More...]