Bodie Barn at Historic State Park.
The Millikan portfolio is one of the latest accounts to move from the Relative Strength management model over to the Sector BPI model. There are still a number of asset class equity holdings in the Millikan. I’ve set Trailing Stop Loss Orders (TSLOs) ranging from 2% to 4% so these should not last through January of 2023. It all depends on how the market behaves over the next few weeks. Limit orders to purchase VGT are set, but there is insufficient cash to fill Technology to the 25% level.
Millikan Investment Quiver and Holdings
As mentioned above, limit orders are set to sell off all the current holdings. Based on sector BPI data, only Technology (VGT) is over-sold so I have limit orders set to pick up shares of VGT. I need more cash to fully fund Technology.
Check the Max percentages in the third column from the left. VOE through VOO will eventually be removed from the Millikan investment quiver.
Millikan Percentage Recommendations
The following screenshot is from the Kipling spreadsheet. I use this table to inform me as to how many shares of the different sectors to purchase. Forty-two (42) shares of VGT will bring the percentage to 24.9% or 25% – the desired maximum. If VOE etc. are sold I will purchase shares of SCHP and SHV, but only after VGT reaches the 25% level.
Millikan Performance Data
A primary motivation for moving the investing model for the Millikan is evident in the IRR for Period data. Since the Millikan is trailing the AOA benchmark it seems prudent to seek out a superior investing model. The Millikan, along with the Carson, Gauss, and Franklin are likely candidates to test the Sector BPI investing model.
Millikan Risk Ratios
Over the past year the Millikan continued to decline. Yes, it has been a poor market for investors of equities, but there was hope the Relative Strength or Relative Momentum model would hold up better than what we see from the following data. Hence the move to the Sector BPI model.
The Sector BPI portfolios will be examined weekly. Look for the BPI data to be published each weekend.
Discover more from ITA Wealth Management
Subscribe to get the latest posts sent to your email.
Lowell,
I notice the Franklin and Millikan % don’t match, is that deliberate or an oversight?
Bob W.
Bob,
Sharp eyes to notice this. I set them up at different points and plan to bring them into alignment. For example, I don’t want any sector to exceed 25% of the total portfolio so the 30% within the Franklin is an oversight. I already corrected that one.
There will likely come a time when all eleven are over-sold. What to do if that event occurs? I’ll likely go with those most over-sold or the lowest BPI percentage and go from there.
Lowell