Huygens Portfolio Review: 7 April 2026

Cabol San Lucas

Huygens is undergoing some minor asset allocation adjustments as I substituted a few “straight” equity ETFs with dividend oriented ETFs.  The portfolio holds a considerable percentage in cash.  Numerous limit orders are in place to use up all this cash.  I am in no hurry to go on a buying spree with the Huygens as there is a high probability the market will experience a major draw-down before the November elections.

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Huygens Security Holdings

Huygens is set up as a recession resistant portfolio.  The current beta is a very low 0.28.  Any major dip in the market will begin to hit the strike prices and when this happens the portfolio beta will rise.

Huygens Rebalancing Recommendations

The sixth column from the right shows the shares to be purchased for the different holdings.  Take RSP as an example.  I have two limit orders set for this ETF.  One order is not too far below the current price while the second order is 10% below the current price.  Limit order prices are staggered to catch different price drops.

Huygens Performance Data

Since 12/31/2021 the Huygens IRR is a tad below its AOR benchmark.  If the market behaves according to history this gap will close over the next 12 to 18 months.

Once more the IAM software is not picking up or identifying where the sector ETFs belong.  The light blue section of the pie will include VPU, VHT and VDC.  Look to the first screen shot to see the asset allocation percentage breakdown.

Huygens Risk Ratios

Huygens took a major hit in March.  The one good signal is the positive slope of the Jensen Alpha.  Over the next few months watch the trend of the Jensen as it is the most important risk factor.

Comments and questions are always welcome.