Two of the recent portfolios added to the stable of accounts tracked at ITA Wealth Management are the Kenilworth and Gauss. Platinum members have access to all the transactions of these two portfolios. I’ll use the Kenilworth as the primary example of the power of consistent savings as the account was initially seeded with one $1,500 investment followed by another $1,000 addition. After that, monthly investments of $500 were added to the portfolio. The Kenilworth was launched on 8/18/2010 so it was not able to take advantage of the bounce off the market bottom in the spring of 2009.
Since launch, the VTSMX is up an annualized 12.0% while the mirror of the S&P 500 (VFINX) gained an annualized 12.3%. This is significantly higher than the historical annualized returns for the market and is certainly a factor in how well these two portfolios performed.