Joshua Tree National Park
Huygens is the first portfolio I am reviewing this year. Therefore, pay little or no attention to the January Risk Ratio data as January data is the same as that for December. I will update this portfolio sometime later in January in order to update the January Risk Ratio values.
Huygens Security Holdings
As with a few other portfolios, the Huygens is holding a high percentage in cash. I’ll be using Kipling guidelines as to how to put this money to use, but will most likely end up with a hefty sum regardless of the recommended purchases.
Huygens Security Recommendations
Based on the latest Bullish Percent Indicator (BPI) data, no sector are recommended for purchase. The Kipling indicates all three (VTI, VOO, and ESGV) U.S. Equities are recommended for purchase. How many shares to purchase of each is laid out in the next table.
Huygens Manual Risk Adjustments
The Kipling spreadsheet is recommending 30 more shares be added to VTI and 125 shares for ESGV. I generally try to round to the nearest five shares.
Huygens Performance Data
Over the past two years the Huygens lags the SPY benchmark by a little less than three percentage points. I suspect the there are several errors as VT did not gain 50%, nor did AOA and AOR lose 100%. This sometimes happens at the end of the month when all data is not posted correctly.
Huygens Risk Ratios
The main change in the data below is that the negative slope for the Jensen is less than it was last review. If one compares December with November, we see improvement in all five risk measurements with exception of the Information Ratio.
Huygens Sector Portfolio Performance
The following table provides information as to what contributions the sector ETFs made to the Huygens. The 19.9% for SPY is accurate and compares with the combined annualized IRR value of 146% for all the sector ETFs.
Since Huygens was not using sector ETFs for this entire period the IRR For Period are of more importance. I think the Total of 186.55% value is in error and will be checking on it later when more January data is available. This is the type of problem I report back to the developers of this software, should unreasonable values continue.
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Several limit orders are in place to purchase shares of VTI and ESGV.
Lowell
I just updated IAM prices and VT is -1.39%, AOA is -1.9%, and AOR is -2.69%. Those are percentages as of early this morning.
Lowell