Before writing this review on the Huygens, I sold 100 shares of IHI and 100 shares of IHE based on the recommendations from the first worksheet shown below. As yet, none of the Buy orders are activated. More on Buy orders later.
All current holdings are a Buy with a score rating of nine (9). Few changes are anticipated within the Huygens.
BHS Recommendations: Buy-Hold-Sell recommendations focus on five ETFs. Core Huygens holdings are those ETFs from SPTM down to SPAB. These 10 securities are mirror asset class ETFs to those held in the Rutherford portfolio. Beyond the 10 securities I add MTUM, QQQ, SLYV, current holdings, and a few from the latest Top Tier screen (XLP and RYU). The investment quiver is fluid, depending on the recommendations that come out of the Top Tier screen.
Huygens Position Sizing Recommendations: The “no harm” recommendations follow below. With the Maximum Portfolio Risk adjusted to 5.0%, the following recommendations will serve investors well. I round recommendations of 218 shares of VIG to 200, but that is my personal preference. I like to work in blocks of 100 shares when possible. There is nothing wrong buying integer shares.
Huygens Manual Risk Adjustments: Using the Position Sizing worksheet as a guideline, below are the recommendations I’m following for the Huygens.
- Buy 100 shares of VIG.
- Buy 100 shares of RYU.
- None of the current holdings will be sold.
While VIG passes the PnF Ratio screen, if RSP is the benchmark, RYU does not. RYU as a utility ETF will add income with a yield in excess of 3.0% and that is why I have a limit order in place to pick up 100 shares.
Portfolio Performance Data: With an Internal Rate of Return (IRR) of 4.4%, the Huygens is outperforming the Time-Weighted RR VTHRX (3.4%) benchmark. Over the past 12 months the Huygens is also besting the VTHRX benchmark.
The next goal is to overtake the 2050 target fund (VFIFX) and the Vanguard Balanced Index Fund (VBINX). Those are the last two benchmarks shown below.