Einstein Portfolio Update: 30 January 2026

Baked Goodies

Einstein is the portfolio scheduled for review this morning.  The asset allocation mix is set so from this point going forward all that is required is to keep the various asset classes as close to the target percentage as possible.  The goal is to keep each asset class (ETF) within one percentage point, but could stray as much as 3% from the target or recommended percentage.

With the appointment of a new Fed chairman expect some market volatility until we know the direction of interest rates.  I expect interest rates will be lowered which should benefit equities, but raise the specter of higher inflation.

Einstein Asset Allocation Model

Below are the ETFs that make up the Einstein portfolio.  VEA, QUAL, and RSP are ETFs representing particular asset classes that are below target.  Limit orders are in place to bring these three asset classes closer to target.

Einstein Rebalancing Recommendations

Einstein is a somewhat conservative portfolio in that the beta is a low 0.361.  Beta will move a bit higher once more equity shares are added to the portfolio.

Note the purple arrow pointing to available cash after all limit orders are in.  This negative value would be a problem except that the limit orders are priced well below current prices so there is available cash to fill all the limit requirements.

The green arrow points to the shares to be added for the specific ETFs.

Einstein Performance Data

Since 12/31/2021 the Einstein has not been a stellar performer.  One significant withdrawal at a critical market moment hurt overall performance.

Now we need to see how this new asset allocation model will work over the next several years.

I need to investigate as to why 30% of the portfolio is not identified in the pie chart.

Einstein Risk Ratios

The risk ratio values have not changed much over this past year.  We see slight improvement in the Jensen since last August, but the gains are minimal.