Ivy 10 Portfolio
As you read through this 10-ETF portfolio, you may want to toggle back and forth between the latest analysis and this analysis I finished approximately four and one-half months ago. When I last analyzed the Ivy 10, little was gained by moving from five to ten ETFs. That is still the case. In the 10-ETF portfolio, there are not ten different asset classes. In my classification method, BND and TIP both fall under bonds and DBC and GSG are both commodities. Therefore, the Ivy 10 Portfolio is really and eight asset class portfolio.
As was the case when we analyzed these same ETFs back in August, little is gained by moving from five asset classes to eight asset classes and these 10 ETFs. The Return/Risk ratio remains essentially the same. We do pull down the risk a tad, but we give up a little return and the Diversification Metric (DM) drops a percentage point. While that drop is insignificant, it is not moving in the right direction.
* Note: The QPP analysis below is yet another upgrade as the period of analysis runs from 10/4/2007 through 10/3/2011.