Gauss Portfolio Update: 5 February 2026

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Gauss is another asset allocation portfolio designed to withstand a major draw-down of equities.  Trailing Stop Loss Orders (TSLOs) are in place for ETFs such as QUAL and RSP.

I recently added VIG to the portfolio so it is not yet up to target.  Limit orders are in place to add more shares to VIG.

Gauss Asset Allocation Holdings

Below are the current holdings for Gauss.  RSP, TLT, VWO, and VIG are the four securities that require additional shares before they are close to the recommended target percentages.

Gauss Rebalancing Recommendations

RSP and VIG are the two ETFs where the focus is to bring them up to target.  The owner of this portfolio is adding very small amounts of cash each month so dividends are the primary source of new cash needed to add more shares to asset classes below target.

Gauss Performance Results

Since 12/31/2021 the Gauss has outperformed all but the S&P 500.

Gauss Risk Ratios

The current Jensen Alpha ratio is the second highest this year and the slope is barely positive.  All risk metrics are positive, but not at the all-year high value.

Based on the current asset allocation the Gauss will have a difficult time keep pace with the broad U.S. Equities should the bull market continue.  This portfolios should do well when the market correction arrives.

Comments and Questions are always welcome.