Simple Four ETF Portfolio Brings Home Excellent Results

Check out this simple four (4) ETF portfolio over on the revised ITA Wealth Management blog site.

Dividend Investors: Article of Interest

Dividend investors may find this article of interest.

If you have not visited the “new” ITA Wealth Management site, please check it out at this link.  Consider a Platinum membership for full access.


Sharpe Parity, Risk Parity, Equal Weights and Simple Moving Averages



Investors interested in investing methods discussed on this blog, and to a greater degree, over on, will find this article of interest.

Followers of ITA Wealth Management will find the latest material over on so please make your way over the this site.


Happy New Year

Happy New Year


Be sure to check out all the new material over on

Modifying Dual Momentum Investing Model

Investors interested in the “Dual Momentum” model should check out the following summaries of this method of portfolio management.  The third link explains how the DM model can be modified.

Bullish Percent Indicators and Portfolio Performance Data

Check out the Bullish Percent Indicators and Portfolio Performance data over on the “new” ITA Wealth Management site.  This new site ( has been operational for about 1.5 years so check out all the new information.

Also, do a search for Rutherford Portfolio and Dual Momentum.



Baker’s Dozen Portfolio

Check out the Baker’s Dozen portfolio using this link.  Learn how to improve portfolio return while reducing risk.

There is also information on Dual Momentum investing over on the “new” ITA Wealth Management blog.


“Swensen Six” Series Coming



Be sure to link to this coming week to read the three-part series on the “Swensen Six” portfolio.  To get you started on what the “Swensen Six” is all about, check out these three articles.


To read the three articles over on you will need a Platinum membership.  These articles are all about portfolio management.

How Important Is Asset Allocation?

My favorite investment writer is William J. Bernstein, author of several investment books and the editor of the Efficient Frontier.  This morning I was scanning the data files of ITA Wealth Management and found where one reader clicked on one of the older articles from Bernstein’s Efficient Frontier. [Be sure to read the section, ‘Let George Do It.’]  I myself have written about the Brinson et. al. articles, published back in 1986 and 1991.  Those two articles are part of an asset allocation file 5.0 cm thick, stored in my filing cabinet.  Since those original Brinson papers were published, Ibbotson and Associates conducted several follow-up studies.  Their results as to the importance of asset allocation are all over the map.  The latest results, and I may not be up on the most recent studies, conclude that the broad movement of the market controls 75% of the movement of the portfolio.  The remaining 25% is divided equally between asset allocation and security selection.

The problem I’ve always had with these studies is that they segment asset classes into equities, bonds, and cash.  To my knowledge, no study breaks the asset classes down any further.  Why not divide equities into U.S. Equities, developed international markets, and emerging markets.  Divided bonds between U.S. Bonds and International Bonds.  Should anyone ever run into such a study, be sure to pass along the reference.

Bernstein sums up the asset allocation issue succinctly with this message to the small investor.

“So how important is “asset allocation?”  Wrong question.  More relevant to the investor is the question of how worthwhile professional efforts at both asset allocation and security analysis really are. The film “Less Than Zero” comes to mind.”

For small investors the answer seems to be:

  1. Decide how much equity you can stomach, and adjust your stock/bond allocation accordingly.
  2. Allocate your stock assets among a wide variety of global regions in a prudent manner.
  3. Let George do the rest while you get on with life’s more salient matters.

Can you stomach a stock/bond mix of 80/20, 70/30, or 60/40, knowing that even with 40% investing in bonds, over 90% of the portfolio volatility is linked to the 60% stock holdings?   For more on portfolio risk, reread this article, and then look up Risk Parity under the Categories section.

Aristotle To Use VTI/TLT Ratio

Check this blog to see how the Aristotle Portfolio is going to be managed using ideas from Benjamin Graham.

If you have not recently checked out the upgraded ITA blog, check the URL under my name.


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