Einstein Portfolio Review: 6 September 2023

Paper Bark Maple Tree

Einstein is one of the portfolios where I am focusing on equities, but with bond options when equities are out of favor.  As readers will see in a moment, no securities are in “full bloom” at the moment.  Several are in Hold mode.  No Buy options are showing up when the investing model is set to BHS and a one-year look-back period is selected.

Einstein Security Recommendations

Readers will find the investment quiver and holdings below.  Recently, shares of ESGV and VOO were added to the portfolio even though the recommendation is to Hold.  Those purchases were limit orders set several weeks ago and were finally struck.

Einstein Manual Risk Adjustments

This morning I set a TSLO of 9.0% to sell off VEA, the one holding recommended to purge from the portfolio.  This will leave quite a bit of cash in the money market, but that is fine until some Buy recommendations show up in the Kipling spreadsheet.

Einstein Performance Data

Over the past 20 months the Einstein lags the SPY benchmark, but is a tad closer to the other five references.  If the market continues to decline we may see an opportunity to pick up shares of either VOO and SPY at lower prices and eventually close the gap on the SPY benchmark.

Einstein Risk Ratios

While it is still early in September, the Einstein Sortino Ratio fell below zero for the first time in over a year.  The good news is that we are seeing improvement in both the Jensen Alpha and the Information Ratio.