Picking the (smartly dressed) Kids up from School, Bali, Indonesia
It has been 3 months since I last posted a review of the Kahneman-Tversky (K-T) Portfolio since no adjustments have been called for. The K-T Portfolio is a simple Dual Momentum Portfolio that needs very little attention since we only have a choice of three ETFs from which to choose and we select the one with the highest momentum.
Performance of this portfolio over the past 26 months looks like this:
where we see that current returns are the same as for the benchmark AOR Fund with a little less volatility through the rough times.
Checking the rotation graphs for the slower moving Kahneman portion of the portfolio (single 12-month lookback to measure momentum) we see that VTI (US Equities) is clearly leading in the top right quadrant.
The same is true for the faster moving (60- and 100-day lookbacks) Tversky portion:
so we shall continue to hold VTI in both portions of the portfolio going forward:
As we can see from the top screenshot, holding VTI for the past 3 months has enabled us to catch up with the return performance of the benchmark AOR Fund. This is a simple portfolio requiring few adjustments.
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David,
Do you plan on reviewing your Hawking portfolio any time soon?
~jim
Yes Jim, later tonight or tomorrow – I’m just waiting for a few dividend payments to get posted.