Huygens Portfolio Review: 22 July 2025

Central California – Friendly switcher.

Huygens is an Asset Allocation (AA) portfolio built using a conventional set of Exchange Traded Funds (ETFs) primarily from Vanguard.  The AA model has only been operational with the Huygens for approximately 16 months so the history is limited.  This management style is similar to what is used with the Schrodinger, but the securities are quite different.

Huygens Asset Allocations

Below is the asset allocation for the Huygens.  In the third column from the left readers will find the percentage allocated to each ETF.  In general, I want to keep the securities within one percentage point of the recommended target.  Currently, only SHV is out of balance or outside the 1% goal to the low side.

Huygens Rebalancing Recommendations

Cash is limited so how am I putting it to use?  Compare the Recommended Shares from Auto with the Shares to Hold.  If the number of shares in the Shares to Hold column is greater than the Recommended Shares from Auto and there is a Buy signal, I do nothing.  Note that BNDX, SHV, and VO are below target and have a Buy recommendation.  I placed a limit order for two (2) shares of VO and I set the limit order 1% below the current price.  Had more cash been available I would have set another limit order for shares of BNDX.  That order will likely be set when the next review occurs, assuming cash is available.

Huygens Performance Data

Since 12/31/2021 the Huygens is besting the AOR benchmark, but is far behind the SPY percentage.  It is unlikely a portfolio diversified to this degree will keep up with the S&P 500.  That could change if there is a major draw-down, but that does not look imminent.

Huygens Risk Ratios

The slight uptick in the Sortino Ratio is positive as is the increase in the Jensen Performance Index.  It will take several months of improvement in the Jensen before the slope turns positive.  At this point we need to let the various assets do their work.

Returning To Investing Roots: 5 August 2024