Chapter two of The Elements of Investing covers index investing. When it comes to investing, nobody knows more than the market. William F. Sharpe put is simply in an article many years ago when he wrote – The Arithmetic of Active Management. I find it humorous that Sharpe did not use the word mathematics in […]
Archives for March 2021
The Elements of Investing: Part I
Burton G. Malkiel and Charles D. Ellis have written an amazingly simple and short book titled, The Elements of Investing. This compact book hits on all cylinders of investing and the first one is the most important – SAVE. This simply means, follow The Golden Rule of Investing. A Charles Dicken’s character, Wilkins Micawber, came […]
GLD Inflation Play with Options
Unfortunately we lost the series of posts recording the progress of the GLD Option positions used as a possible inflation hedge when we “cleaned up” the site a few weeks ago. This position was opened about a year ago, when GLD was trading at ~$153: Since then GLD moved up to a high of ~$194 […]
The Golden Rule of Investing
The Golden Rule of Investing is simply, “Save as much as you can as early as you can.” The operative word is early. William J. Bernstein lays it out in stark language in his book, “The Investor’s Manifesto“ where he writes, “Each dollar you do not save at 25 will mean two inflation-adjusted dollars that […]
New Content Notification
Several readers contacted me about new blog post notifications. New content was not reaching readers unless they logged into ITA Wealth Management. This post is a test of a new plugin to see if this note reaches ITA readers. If you see this post automatically in your e-mail, drop a note in the Comments section […]
Rutherford Portfolio Review (Tranche 5) – 12 March 2021
It was a bullish week in the US Equity markets with the S&P 500 closing the week ~2.6% higher than last week’s close and at all-time highs: The closes on the last 2 days were also outside the Expected Move (EM) for the week and volatility has dropped. We will now wait to see whether […]
Portfolio Benchmarking: Looking Beyond Portfolio Returns
In the process of cleaning up this blog, I lost some critical posts and a few related to bench-marking. Fortunately, I posted an important article on this subject over on Seeking Alpha. Here is the link to one benchmarking article. Check it out. In most of the portfolio reviews you will see data and graphs […]
Gauss Portfolio Review: 10 March 2021
Gauss is the portfolio up for review this morning. With a rising market, fewer securities are showing up as a Buy. While I think the Relief Bill will help the stock market move forward, I’ll continue to take a conservative approach with the Gauss as you will see in the following review. The management model […]