Asset Allocation And Risk Management
As both stocks and bonds continue to experience weakness this year, it’s high time for investors to seriously (re)visit the concept of risk and how to manage it. In this newsletter, we look at portfolio diversification through allocation, its effectiveness and ways to manage risk better.
Stocks and bonds
By now, investors should have finally tasted the limitation of stocks and bonds only allocation. First, the following chart, courtesy of Jim Bianco Research, illustrates that virtually nothing among stocks and bonds made money last quarter:
A few observations:
- The last time every asset class lost money was 1994.
- Last quarter, the ‘best’ performing asset is S&P 500 (or US large cap stocks), only losing -4.6%
- It was the worst since 1980 Q1 when the best performing asset lost -8.7%
Or put it another way, there was no place to hide (unless you are in cash) in last quarter. Of course, one can try to be in commodities or gold that are usually considered by many as non major asset classes:
It’s of course obvious that with high inflation rate, commodities and gold have done wonder.
However one needs to be aware that investing in commodities is not only very volatile, it’s also much harder. For example, simply buying and holding DBC has had some dismal 10 and 15 year returns:
|Asset (Fund) Name||YTD
|1Yr AR||3Yr AR||5Yr AR||10Yr AR||15Yr AR|
|VTI (Vanguard Total Stock Market ETF)||-6.3%||8.0%||17.2%||15.4%||14.3%||10.0%|
|VEA (Vanguard FTSE Developed Markets ETF)||-6.7%||-1.0%||8.1%||7.5%||7.1%|
|VWO (Vanguard FTSE Emerging Markets ETF)||-6.0%||-9.5%||4.7%||5.8%||3.5%||3.4%|
|VNQ (Vanguard REIT ETF)||-4.3%||21.0%||11.9%||9.8%||10.0%||6.5%|
|GLD (SPDR Gold Shares)||6.7%||11.6%||14.4%||8.5%||1.4%||6.9%|
|DBC (PowerShares DB Commodity Tracking ETF)||28.6%||58.7%||18.7%||12.3%||-0.4%||0.7%|
|BND (Vanguard Total Bond Market ETF)||-7.5%||-6.0%||1.4%||2.0%||2.0%||3.4%|
This brings us back to the important topic: asset allocation and risk management.
Stocks and bonds: risk parity
One of the favorite strategies for pension and institutional funds such as endowments is the ‘risk parity’ strategy. Basically, the strategy tries to allocate assets so that each portion has about the same risk (or volatility). For example, if stocks’s volatility is 3 times of bonds, one should adopt an 1:3 stock and bond allocation so that the volatility of the stock portion is about the same as that of the bond portion.
In general, this will make the overall volatility too low or in asset allocation terminology, the portfolio is too conservative: in this example, the ‘risk parity’ portfolio is about 25% in stocks and 75% in bonds, a typical conservative portfolio. A way to enhance the return (while increasing risk) is to utilize derivatives to leverage up the portfolio. For example, one can use futures or options to leverage this ‘conservative’ portfolio to a ‘balance’ portfolio risk while in the meantime getting better returns.
This strategy has been extremely popular for the past 20 or so years. It’s actually no coincidence that it became popular and has done well in the secular bond market that started in 1990s.
Unfortunately, this strategy has recently suffered major setback, amid the unusual weakness in both stocks and bonds. The following table compares some risk parity funds and other portfolios:
|1Yr AR||3Yr AR||5Yr AR||10Yr AR||15Yr AR|
|MPIQ ETF Allocation Moderate||-6.6%||2.2%||11.2%||9.7%||8.8%||8.4%|
|Harry Browne Permanent Portfolio||-4.1%||3.1%||9.1%||7.2%||5.3%||6.4%|
|NTSX (WisdomTree U.S. Efficient Core Fund)||-10.2%||4.6%||16.4%|
|RPAR (RPAR Risk Parity ETF)||-7.2%||4.1%|
|WFRPX (Wealthfront Risk Parity W)||-13.6%||-6.0%||-1.4%|
|PPRPX (Putnam Risk Parity Fund)||-10%||-4.9%||-3.1%|
|VBINX (Vanguard Balanced Index Inv)||-7.5%||2.2%||11.1%||10.1%||9.5%||7.6%|
|PRPFX (Permanent Portfolio)||-0.5%||4.0%||12.0%||8.8%||5.1%||6.2%|
All of the above risk parity funds haven’t done well. The worst performer is Wealthfront Risk Parity fund WFRPX, it has lost money for the past 1 and 3 years. In fact, it lost -1.9% annually since it was introduced on 1/22/2018. Wealthfront was a pioneer in robo advisor, i.e. providing low cost portfolio management to average investors. Unfortunately, as what we always contend, these robo advisors are just providing static or strategic asset allocation service to investors by charging 0.25% or even higher fees. We believe the ‘low’ fees are not even low: managing a strategic cookie cutter asset allocation portfolio is a simple enough task any investor can perform. Charging a quarter percentage of assets seems excessive to us. Unfortunately, we expect these robo advisors portfolios will continue to suffer in the coming years as the secular bond market is coming to the end.
The other interesting fund is NTSX (WisdomTree U.S. Efficient Core Fund). It basically leverages both stocks and bonds up to 90/60 allocations (thus, it’s a 1.5x leverage). This fund will do well when both stocks and bonds have positive returns. But it will do badly when the two major assets are in distress (it lost -10.2% year to date).
What’s more important is that the strategic allocation has started to show its sign of weakness, as shown in the above. The strategy has done well for the past 30 years because bonds (as well as stocks) were in a secular bull market. Now that we are seeing this bond bull market (and very likely stock bull market also) is ending, the alarm is sounding: it’s probably not enough to navigate through the next 10 years or so by using such a simple strategy. We will discuss this a bit more shortly.
Gold and permanent portfolios
The other way is to introduce gold to one’s asset allocation. A famous one is Harry Browne Permanent Portfolio. It basically allocates 25% each to stocks, gold, long term Treasury bonds and short term cash. There are several varieties. We have written several newsletters on them. Interested readers can look at them on our newsletter collection.
From the above table, one can see that PRPFX (Permanent Portfolio) fund and the portfolio has lost least year to date. Notice that PRPFX fund has a different allocation than the Harry Browne’s portfolio. We expect that these portfolios might do better than a conventional stock and bond portfolio such as VBINX. However, one shouldn’t underestimate the severity of the next financial crisis. Imagine a bear market when stocks loses 50% while gold, an asset also considered to belong to risk asset group also lose some values (probably less than stocks). Unfortunately, in this bear market, bonds might not come to rescue as much as in the past because of inflation pressure or even if they do because of central banks’ strong intervention, inflation will force them to lose value big time after the bear market.
At any rate, we expect to see high inflation and rising interesting rate in the coming decade or longer. The permanent portfolios or similar hedged allocations will probably beat out a stock and bond only portfolio but in terms of returns, at best, they will preserve values without much value growth.
The need of dynamic or tactical allocation
We again want to repeat our belief that to cope with extremely high stock and bond valuations in a secular rising rate (rising inflation) environment, in addition to diversifying one’s investments to various asset classes, there Is a need of dynamic allocation, especially during a financial crisis or severe bear market. By dynamic allocation, we mean strategies like MyPlanIQ’s Asset Allocation Composite (AAC) or Tactical Asset Allocation(TAA) that can reduce or increase allocations of stocks and bonds depending on market conditions.
One example of dynamic allocations is to reduce or completely avoid stocks in 2008-2009 financial crisis. The other example is like recently, our bond portfolios are mostly in short term bonds or cash because of the bond market weakness.
Dynamic or tactical allocation strategies are the last resort defense in the case of all major assets have severe weakness.
Dynamic allocations are also called market timing. Unfortunately, strategies or behaviors, most of them are bad, that change allocations are all lumped into the bad ‘market timing’ category, thus they are usually shunned by investors with disdain. However, as what our strategies have demonstrated, a few of them can work and work well, meaning, they can deliver market beating or market comparable returns with much lower volatility. This is important for investors whose time horizon is shorter than 20 or even 30 years. Essentially, our view is that our dynamic allocation strategies like AAC will outperform strategic asset allocations in the following decades.
However how negative stocks and bonds have behaved recently, we remind investors that both household and corporate debt levels are actually still reasonable in a historical setting:
These levels are relatively high (about the same levels in 2007 or so) in the recent cycle but they are still low compared with those in 1970s and 1980s. In a complicated setting, this means the central bank might not be forced to raise interest rates as much as markets might expect. On the other hand, no one can be certain as many factors can develop further to tip an already decelerating economy into a recession (The Atlanta Fed GDPNow predicts a 1.1% next quarter’s GDP growth, low but no where near negative for now) or an expensive stock and bond market to a bear market.
To summarize, we believe a tactical or dynamic allocation is very much warranted to cope with the current treacherous market conditions. However, that doesn’t mean that we advocate abandoning strategic asset allocation or other hedged allocations such as permanent allocations. In fact, we view these strategies are complement to each other and each can serve well under certain conditions or settings. Because we can’t predict when these conditions will emerge and how long they will last for certain, we thus need to rely on them to balance out.
We again advocate the following practice:
- For strategic allocation (buy and hold) investors, ignore the current market behavior. Remember, as what we have emphasized numerous times, when you choose and commit to a strategic portfolio, you essentially know and commit that your investment horizon (or the time you need to utilize this capital) is 20 years or longer. As we pointed out, if your investments are those diversified (index) funds such as an S&P 500 index fund (VFINX, for example), you know your money is in some solid ‘business’ that eventually (20 years later) will deliver some reasonable returns. As long as you are comfortable with this thesis, you should sit tight and forget about the current gyration.
- For tactical investors, again, you have to ignore the current market noise. Furthermore, you should follow your strategy rigorously, especially in a time like this. Human emotion, both optimistic and pessimistic, and human desire, both greedy and fearful, are your worst enemies. This has been shown to be true time and time again.
Stock valuation has dropped somewhat. However, it is still very high by historical standard. For the moment, we believe it’s prudent to be extra cautious. However how serious a correction might be, we have confidence in the US economy in the long term and thus in the stocks in aggregate. We just need to manage through interim losses carefully.
We again would like to emphasize that for any new investor and new money, the best way to step into this kind of markets is through dollar cost average (DCA), i.e. invest and/or follow a model portfolio in several phases (such as 2 or 3 months) instead of the whole sum at one shot.
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–Thanks to those who have already contributed — we appreciate it.
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- November 22, 2021: The ‘Best’ Balanced Fund Revisited
- November 15, 2021: Q&A On MyPlanIQ Strategies And Portfolios
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- September 20, 2021: Benchmarking MyPlanIQ Fixed Income Bond Portfolios
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- August 16, 2021: Smart Factor ETFs Review
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- April 19, 2021: New And Old Useful Features
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- April 5, 2021: DoubleLine Shiller CAPE 10 Based Funds Update
- March 29, 2021: International Stocks vs. US Stocks
- March 22, 2021: Ultra Short Term Bond ETF Portfolio As A Money Market Fund
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- February 22, 2021: Rising Bond Yields And Current Stock Trends
- February 8, 2021: Total Return Bond ETFs Review
- February 1, 2021: REITs And Major Asset Trends
- January 25, 2021: Industry ETFs And ARK ETFs Portfolios
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- November 9, 2020: Fixed Income Funds Update
- November 2, 2020: Polls Are Useless vs. This Investment Strategy Doesn’t Work!
- October 26, 2020: Recent Improvements
- October 19, 2020: REIT Indexes As Businesses
- October 12, 2020: Stock Indexes As Businesses
- October 5, 2020: Asset Trend Review
- September 28, 2020: Retirement Spending: Your Portfolio’s Volatility Matters
- September 21, 2020: Boring Utility Stocks Are Excellent Long Term Winners
- September 14, 2020: Surprised, Active Fixed Income Investors Have Done Better Than Stock Investors For The Last 20 Years!
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- August 17, 2020: Newsletter Collection Update
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- May 11, 2020: Asset Trends Review
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- April 20, 2020: Multi-Factor ETFs and Rotation
- April 13, 2020: A Closer Look At 401(k) Investment Portfolios
- April 6, 2020: Long Term Stock Market Timing Since 1871 Revisited
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- February 24, 2020: Long Term Stock Valuation Based Investment Strategies
- February 10, 2020: Update On Short Term Cash, Treasury Bills and Brokered CDs
- February 3, 2020: Investment Landscape For Retirees And Would-be Retirees: Stocks
- January 27, 2020: Investment Landscape For Retirees And Would-be Retirees: Fixed Income
- January 13, 2020: Portfolio Performance: A Walk In The Past II
- January 6, 2020: Asset Outlook and Portfolio Strategies
- December 16, 2019: Q&As On Our Services
- December 9, 2019: Portfolio Constructions For Advanced Users
- December 2, 2019: Newsletter Collection Update
- November 25, 2019: Core ETFs or Core Mutual Funds Portfolios
- November 18, 2019: Introducing MyPlanIQ Asset Allocation Composite Strategy
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- October 14, 2019: Low Volatility Factor ETFs
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- September 30, 2019: Boosting Bond ETF Portfolio’s Return With Muni Bond ETFs
- September 23, 2019: Value ETFs
- September 16, 2019: Factor ETFs
- September 9, 2019: Momentum Factor Stock ETFs
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- August 19, 2019: PIMCO Income Fund and Other Total Return Bond Funds Update
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- July 15, 2019: Quality Stock Factor ETFs
- July 8, 2019: Surprise! Brokerages Make Most From Your Cash, Not Commissions
- July 1, 2019: Utilities Sector Review
- June 24, 2019: Asset Allocation Funds Review
- June 17, 2019: Latest Performance Comparison Among Several Advanced Strategies
- June 10, 2019: Money Market And Ultra Short Term Bond Funds
- June 3, 2019: What We Can Learn From The Seasonality Strategy
- May 20, 2019: Morningstar Portfolio Manager Awards
- May 13, 2019: Total Return Bond ETFs Review
- May 6, 2019: Global Allocation Revisited
- April 29, 2019: Asset Trend Review
- April 22, 2019: The Current State Of Fixed Income
- April 15, 2019: The Importance Of Fixed Income Returns For Retirement Spending
- April 8, 2019: Newsletter Collection Update
- April 1, 2019: S&P 500 As A Business
- March 25, 2019: Health Care Sector Review
- March 18, 2019: The Risk Of Stock Investing
- March 11, 2019: Consumer Staples Sector Review
- March 4, 2019: Global Stock Valuation Update
- February 25, 2019: ‘Bad’ Tactical Strategy
- February 11, 2019: “Best” Balanced Fund And Portfolios Revisited
- February 4, 2019: Cash And Money Market Funds: Interests And Safety
- January 28, 2019: Fixed Income Review
- January 14, 2019: Tactical Asset Allocation Portfolio Review
- January 7, 2019: Global Strategic Asset Allocation Portfolio Review
- December 17, 2018: Robinhood’s ‘Revolution’ Or Gimmick
- December 10, 2018: How Defensive Are REITs?
- December 3, 2018: Conservative Core Satellite Portfolio
- November 26, 2018: Allocation Mutual Fund Review
- November 19, 2018: Is The Recent Downtrend Sustainable?
- November 12, 2018: The Staggering Low Interest Rates From Big Banks
- November 5, 2018: The ‘Right’ Or ‘Wrong’ Decision
- October 29, 2018: Taxable Total Return Bond Plus Muni Bond Fund Based Portfolios
- October 22, 2018: DoubleLine Shiller CAPE 10 Based Fund Review
- October 15, 2018: Newsletter Collection Update
- October 8, 2018: Asset Trend Review
- October 1, 2018: Taxable vs. Tax Exempt High Yield Bonds
- September 24, 2018: High Yield Bonds In A Rising Rate Environment
- September 10, 2018: Value, Growth And Blend Stock Style Investing
- August 27, 2018: Money Market ETFs?
- August 20, 2018: How Momentum Investing Stacks Up?
- August 13, 2018: Total Return Bond ETF
- August 6, 2018: Fidelity Zero-Fee Index Funds
- July 30, 2018: Tax Efficient Portfolios
- July 23, 2018: Municipal Bond Funds And Portfolios
- July 16, 2018: A Guide To Conservative Portfolios
- July 9, 2018: Conservative Allocation Mutual Funds Based Portfolios
- July 2, 2018: Small Cap Stocks For The Long Term
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- June 18, 2018: The ‘Best’ Balanced Portfolio Continues To Excel
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- June 4, 2018: Action Plan: Risk Review For Investments
- May 21, 2018: Rising Rates, Consumer Staples And Stock Index
- May 14, 2018: Newsletter Collection Update
- May 7, 2018: Money Market Fund Taxonomy
- April 30, 2018: Momentum Investing Review
- April 23, 2018: Commodities In Current Environment
- April 16, 2018: Municipal Bonds As A Fixed Income Asset Class
- April 9, 2018: Exponential Or Compounding Nature In Investing
- April 2, 2018: Inside Of The Stock Chaos
- March 26, 2018: Total Return Bond Update
- March 19, 2018: Treasury Bills vs. Brokered CDs
- March 12, 2018: Defensive Conservative Portfolio Review
- March 5, 2018: Warren Buffett’s Advices
- February 26, 2018: Pros And Cons of Strategic And Tactical Portfolios In 2018
- February 12, 2018: Trend Review
- February 5, 2018: Market Selloff And Long Term Investing
- January 29, 2018: The New Addition To Our Total Return Bond Fund Candidates
- January 22, 2018: Where Are Bonds Heading?
- January 15, 2018: Tactical Portfolios Review
- January 8, 2018: Strategic Portfolios Review
- December 18, 2017: Record Highs And Risk
- December 11, 2017: Cash Return And Interest Rate Update
- December 4, 2017: Mutual Fund Star Ratings: Are They Useful?
- November 20, 2017: Thankful And Mindful
- November 13, 2017: Is This A Good Time For Retirees Or Would Be Retirees?
- November 6, 2017: Newsletter Collection Update
- October 30, 2017: Rising Interest Rates
- October 23, 2017: A Primer For Portfolios
- October 16, 2017: REITs As An Asset Class
- October 9, 2017: Conservative Portfolios Revisited
- October 2, 2017: The Role of Short Term Bond Funds
- September 25, 2017: Fees In Cash Investments
- September 18, 2017: Conservative Portfolios Review
- September 11, 2017: International Diversification Effect
- September 4, 2017: Invest And Speculate Revisited
- August 28, 2017: Total Return Bond Fund Portfolios: Where Do They Fit?
- August 21, 2017: Portfolio Performance: A Walk In The Past
- August 14, 2017: Fidelity Commission Free ETFs Update
- August 7, 2017: I Didn’t Learn Anything — Mistake vs. Temporary Underperformance
- July 31, 2017: Asset Classes And Fund Choices: A Primer
- July 24, 2017: Total Return Bond Fund Portfolios And Cash
- July 17, 2017: Long Term Stock Holding Periods For Retirement
- July 10, 2017: Half Year Asset Trend Review
- June 26, 2017: How To Beat The Best Balanced Allocation Fund
- June 19, 2017: Newsletter Collection Update
- June 12, 2017: A Mixed Bag Performance of Momentum Investing
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- May 29, 2017: Alternative Assets And Their Role In Portfolios
- May 22, 2017: Summer Seasonality And Portfolio Management
- May 15, 2017: Cash: Banking Or Investing?
- May 8, 2017: Holding Period of Long Term Timing Portfolios
- May 1, 2017: Debate on Risk vs. Volatility
- April 24, 2017: The Long Term Stock Market Timing Return Since 1871
- April 17, 2017: Risk vs. Volatility: Long Term Stock Market Returns
- April 10, 2017: Total Return Bond ETFs And Portfolios
- April 3, 2017: Quarter End Asset Trend Review
- March 27, 2017: Practical Consideration For IRAs And 401k Accounts
- March 20, 2017: Fund Fees: That’s (Still) Outrageous
- March 13, 2017: Long Term Stock Valuation Review
- March 6, 2017: Asset Classes for Retirement Investments
- February 27, 2017: Fidelity Total Bond Fund Review
- February 20, 2017: Long Term Stock Timing Based Portfolios And Their Roles
- February 13, 2017: Alternative Investment Portfolios Review
- February 6, 2017: Tax Free Municipal Bond Investments Review
- January 30, 2017: Brokerage Specific Conservative Portfolios
- January 23, 2017: Fixed Income Portfolio Review
- January 16, 2017: Long Term Trend Following Portfolio Review
- January 9, 2017: Tactical Asset Allocation Review
- January 3, 2017: Strategic Asset Allocation Review
- December 12, 2016: Enhanced Index Funds
- December 5, 2016: Review Of Broad Base Core Mutual Funds For Brokerages
- November 28, 2016: Core Index ETFs Review
- November 21, 2016: International Exposure Of U.S. Large Companies
- November 14, 2016: Asset Trends After The Election
- November 7, 2016: Rising Rate And Current Bond Trend
- October 31, 2016: Economy Power And Long Term Stock Returns
- October 24, 2016: Current Commodity Trend And Managed Futures
- October 17, 2016: Investment Mistakes And Good Or Bad Investment Strategies
- October 10, 2016: Momentum Investing Review
- October 3, 2016: Survey & Feedback
- September 26, 2016: Fixed Income Investing: Actively Managed Funds vs. Index Funds
- September 19, 2016: Stock Investing: Actively Managed Funds vs. Index Funds
- September 12, 2016: Newsletter Update
- September 5, 2016: Overvalued Markets And Long Term Timing Strategies
- August 29, 2016: Your 401K Finally Draws Attention
- August 22, 2016: Inflation Protected Securities TIPS For Current Overvalued Markets
- August 15, 2016: Risk On: Emerging Market Stocks And Small Cap Stocks
- August 8, 2016: Portfolio Construction Using Stock ETFs And Bond Mutual Funds
- August 1, 2016: Adding Value To Your Own Investments
- July 25, 2016: Tactical Asset Allocation Funds Review
- July 18, 2016: Strategic Asset Allocation & Lazy Portfolio Review
- July 11, 2016: Asset Trend Review
- June 27, 2016: Secular Cycles For Tactical And Strategic Investment Strategies
- June 20, 2016: A World of Debt
- June 13, 2016: Managed Futures For Portfolio Building
- June 6, 2016: Newsletter Summary
- May 30, 2016: Swensen Portfolio And Permanent Portfolios
- May 23, 2016: AAII Article And Some Web Changes
- May 16, 2016: The PIMCO (Dis)Advantages
- May 9, 2016: Boost Your Dull Summer Investments
- May 2, 2016: Low Cost Index Fund Investing
- April 25, 2016: Tax Free Municipal Bond Funds & Portfolios
- April 18, 2016: Asset Class Trend Review
- April 11, 2016: Construction of Sound And Conservative Portfolios
- March 28, 2016: Total Return Bond ETFs Review
- March 21, 2016: Small And Large Company Stock Performance In Different Economic Expansion Cycles
- March 14, 2016: Are Tactical And Timing Strategies Losing Steam?
- March 7, 2016: Defined Maturity Bond Fund Analysis
- February 29, 2016: Smart Strategic Asset Allocation Rebalance When Market Trend Changes
- February 22, 2016: Be Cash Smart
- February 15, 2016: Bond ETF Portfolios
- February 8, 2016: Newsletter Collection Update
- February 1, 2016: Total Return Bond Fund Portfolios In A Volatile Period
- January 25, 2016: Alternative Portfolios Review
- January 18, 2016: Strategic Asset Allocation: A Cautious Outlook
- January 11, 2016: Review Of Trend Following Tactical Asset Allocation
- January 4, 2016: What Worked And Didn’t In 2015
- December 21, 2015: Distressed Assets
- December 14, 2015: High Yield Bonds And Their Correlation With Stocks
- December 7, 2015: Diversification And Global Allocation
- November 30, 2015: Investors and Speculators Combined
- November 23, 2015: Active Stock Fund Performance Consistency
- November 16, 2015: Permanent, Risk Parity And Alternative Portfolios Review
- November 9, 2015: Broad Base Core Mutual Fund Review
- November 2, 2015: Broad Base Index Core ETFs Review
- October 26, 2015: Total Return Bond Fund Review
- October 19, 2015: Advanced Portfolio Review
- October 12, 2015: What About Commodities?
- October 5, 2015: Core Satellite Portfolios In A 401k Account
- September 28, 2015: Risk Managed Strategic Asset Allocation Portfolios Revisited
- September 21, 2015: Quest For The Best Investment Strategy
- September 14, 2015: Core Satellite Portfolios In Market Turmoil
- September 7, 2015: Market Rout Creates An Opportunity to Reposition Your Portfolios
- August 31, 2015: Review of Asset Allocation Funds and Portfolios
- August 24, 2015: Market Rout And Your Portfolios
- August 17, 2015: ETF or Mutual Fund Based Portfolios
- August 10, 2015: Updated Newsletter Collection
- August 3, 2015: Slippery Asset Trends
- July 27, 2015: Performance Dispersion Among Momentum Based Portfolios
- July 20, 2015: Global Balanced Portfolio Benchmarks
- July 13, 2015: Pain in Tactical Portfolios
- July 6, 2015: Fixed Income Total Return Bond Funds In Strategic Asset Allocation Portfolios
- June 29, 2015: Core ETF Commission Free Portfolios
- June 22, 2015: Secular Asset Trends
- June 15, 2015: Giving Up Bonds?
- June 1, 2015: Summer Blues?
- May 26, 2015: Cash, Bonds and Stocks In A Rising Rate Environment
- May 18, 2015: Portfolio Update
- May 11, 2015: Pain in Fixed Income?
- May 4, 2015: The Balanced Stock and Long Term Treasury Bond Portfolios
- April 27, 2015: Long Term Treasury Bond Behavior
- April 20, 2015: 529 College Savings Plan Rebalance Policy Change
- April 13, 2015: Total Return Bond Funds As Smart Cash
- April 6, 2015: The Low Return Environment
- March 30, 2015: Brokerage Specific Core Mutual Fund Portfolios 2
- March 23, 2015: Investment Arithmetic for Long Term Investments
- March 16, 2015: Brokerage Specific Core Mutual Fund Portfolios
- March 9, 2015: Newsletter Collection Update
- March 2, 2015: Total Return Bond ETFs
- February 23, 2015: Why Is Global Tactical Asset Allocation Not Popular?
- February 16, 2015: Where Are Permanent Portfolios Going?
- February 9, 2015: How Have Asset Allocation Funds Done?
- February 2, 2015: Risk Management Everywhere
- January 26, 2015: Composite Portfolios Review
- January 19, 2015: Fixed Income Investing Review
- January 12, 2015: How Does Trend Following Tactical Asset Allocation Strategy Deliver Returns
- January 5, 2015: When Forecast Fails
- December 22, 2014: Long Term Asset Returns: How Long Is Long?
- December 15, 2014: Beaten Down Assets
- December 8, 2014: Implementing Core Asset Portfolios In a Brokerage
- December 1, 2014: Two Key Issues of Investment Strategies
- November 24, 2014: Holiday Readings
- November 17, 2014: Retirement Spending Portfolios Update
- November 10, 2014: Fixed Income Or Cash
- November 3, 2014: Asset Trend Review
- October 27, 2014: Investment Loss, Mistakes And Market Cycles
- October 20, 2014: Strategic Portfolios With Managed Volatility
- October 13, 2014: Embrace Volatility
- October 6, 2014: Tips For 401k Open Enrollment
- September 29, 2014: What Can We Learn From Bill Gross’ Departure From PIMCO?
- September 22, 2014: Why Total Return Bond Funds?
- September 15, 2014: Equity And Total Return Bond Fund Composite Portfolios
- September 8, 2014: Momentum Based Portfolios Review
- September 1, 2014: Risk & Diversification: Mint.com Interview
- August 25, 2014: Remember Risk
- August 18, 2014: Consistency, The Most Important Edge In Investing: Tactical Case
- August 11, 2014: What To Do In Overvalued Stock Markets
- August 4, 2014: Is This The Peak Or Correction?
- July 28, 2014: Stock Musings
- July 21, 2014: Permanent Portfolios & Four Pillar Foundation Based Framework
- July 14, 2014: Composite Portfolios Review
- July 7, 2014: Portfolio Behavior During Market Corrections
- June 30, 2014: Half Year Brokerage ETF and Mutual Fund Portfolios Review
- June 23, 2014: Newsletter Collection Update
- June 16, 2014: There Are Always Lottery Winners
- June 9, 2014: The Arithmetic of Investment Mistakes
- June 2, 2014: Tips On Portfolio Rebalance
- May 26, 2014: In Praise Of Low Cost Core Asset Class Based Portfolios
- May 19, 2014: Consistency, The Most Important Edge In Investing: Strategic Case
- May 12, 2014: How To Handle An Elevated Overvalued Market
- May 5, 2014: Asset Allocation Funds Review
- April 28, 2014: Now The Economy Backs To The ‘Old Normal’, Should Our Investments Too?
- April 21, 2014: Total Return Bond Investing In The Current Market Environment