Gauss Portfolio Review: 14 January 2026

“Human Zipper”

Gauss is the portfolio scheduled for an update.  The latest asset allocation model is designed to be somewhat recession proof – if such an asset allocation is possible.  By recession proof, there are several low volatile ETFs that will throw off dividends so as to keep the various assets close to target.

Gauss Asset Allocation

Below is the current makeup of the Gauss.  Developed International Equities (VEA) is significantly above target, but I will let that asset class ride as international equities are expected to do better over the next few years.  This just means that I will constantly be adding to the other asset classes in an effort to bring the total portfolio into balance.

Limit orders are in place to bring other asset classes closer to the target percentages or the percentages found in the third column from the left.

Gauss Rebalancing Recommendations

Below readers will see the number of shares on limit orders.  The owner of this portfolio does not add much cash each month so I will need to rely on dividends to keep the asset classes close to the target percentages.

Gauss Performance Data

Since 12/31/2021 the Gauss has outperformed the AOR benchmark by a wide margin.  However, this portfolio is still behind equity oriented benchmarks such as VTI, VT, ESGV and SPY.

Gauss Risk Ratios

Based on the slope of the Jensen Performance Index, the portfolio is keeping pace with the benchmark on a risk adjusted basis.

The Treynor Ratio is trending upward as the beta of the portfolio is being reduced in this effort to create a “recession proof” portfolio.

The current beta is 0.26 or very low.