Einstein Portfolio Review: 15 August 2023

Creative Hot Air Balloons

Here we are in the middle of August and summer is “shouting” at Portland residents.  It is unusual to experience multiple days of 100+ temperatures, but that is where we are this week.

Einstein is the portfolio up for review and few changes are expected.  No equities are recommended for purchase as you will see in a moment.

Einstein Investment Quiver and Holdings

Below is the investment quiver and current holdings for the Einstein.  All holdings fall into the equities bucket with an emphasis on U.S. Equities.  What to do with $28,000 in cash is the question?

Einstein Security Recommendations

Using the Buy-Hold-Sell (BHS) model combined with a one-year look-back period all the current holdings are recommended to stand pat with a Hold.  With this recommendation I don’t plan to add to any of the current holdings.

Einstein Manual Risk Adjustments

When equities are not recommended and SHV is also a Sell, one place to invest cash is BIL.  The other option is to leave the money in the money market.

I have several limit orders to purchased shares of BIL.  Otherwise, no changes in the Einstein.

Einstein Performance Data

Over the past 18.5 months the Einstein lags the SPY benchmark by a substantial percentage.  This is also the case with the other five potential benchmarks.  Due to lack of performance I’m concentrating or narrowing the investment quiver options.  With a focus more on equities the hope is that the Einstein will begin to close the gap on the S&P 500.

Einstein Risk Ratios

Since the end of July the Einstein gained a little ground on the Jensen Performance Index as well as the Information Ratio.  However, both are well behind their values of a year ago.

No changes are planned with exception of several limit orders in place to purchase shares of BIL.