Feb 28, 2018 Allocations

By
Monthly Portfolio Update:


There is no change to the tactical allocation for March, it remains:  
  • Large Cap Equity:  100%  
  • Small Cap Equity:    0%  
  • High Yield Debt:       0%   
  • Inv. Grade Debt:       0%  

The Equal portfolio: This account now has $1068.65 in cash so it will purchase about $534 each of JNK and AGG (both are now only a 23% weighting in the portfolio).

The TA portfolio: There is no change from the previous month so no trade is needed for this portfolio.

The Enhanced portfolio: There is no change in allocation for this portfolio, however I am going to make a diversifying trade. I will increase exposure to commodities DBCMX and reduce exposure to DSEUX. Commodities tend to do well in the late stages of the business cycle.

I will sell about 8% of the DSEUX and buy as much DBCMX as possible with the proceeds and cash in the account.

I will make the trades on March 1st and post the details shortly thereafter.

Note: The DBCMX has a minimum of $100K (or $5K for an IRA). DLCMX is the same strategy with a little higher fees and lower minimums ($2K for regular account and $500 for an IRA). You could use DLCMX as a substitute for DBCMX if you need to trade in smaller amounts.

Disclaimer:
Past performance is not a guarantee of future performance.  This strategy is presented for informational purposes only and is not a solicitation to buy or sell any securities. October is one of the peculiarly dangerous months to speculate in stocks in.  The others are July, January, September, April, November, May , March, June, December, August and February. ~ Mark Twain

Comments

Post a Comment

Popular posts from this blog

What is all the fuss about Bitcoin?

By
Image
"Lack of Clarity gives Birth to Disappointment" ~ Dan Rockwell Bitcoin's meteoric rise What Is Bitcoin? Everyone is talking about it, but what is it? At the most basic level it is an electronic voucher that says you own it (sounds redundant, no?). It is an electronic record stating who owns how many "bitcoin". There is no physical thing that is a Bitcoin, no one has ever seen, or touched, or tasted one. Its power comes from something called the "blockchain" which makes it (to date) impossible to hack or replicate. So although it is nothing, it is not (currently) replicable or hackable and it is transferable (kind of like money without the paper and metal). The blockchain allows for the exchange and creation of more Bitcoin without a third party middleman. No bank is needed to verify the transactions or to store the Bitcoin or validate their authenticity. No one but the blockchain "system" can validate exchanges or create new vo
Read more

The Retirement Question

By
Image
I have had many people ask me the very difficult question: When can I retire? Most people are looking for an age but underlying this question is a dollar amount. What we really want to know is "When can I retire and live comfortably for the rest of my life without financial worries?". The answer to this has just as much to do with your retirement savings as it does with your age. Without a crystal ball, there is no way to know the exact answer. So like most things, the answer is, "it depends". There are so many unknown's (how long will you live, how will your spending habits change, what will your investment returns look like, what will inflation do)?  But there are also some things that we control and those are what I would like to analyze together. To do this, we will look at the retirement related decisions we make and their impact on retirement age (holding all the unknowable things constant). We will find that decreasing spending is more powerful t
Read more

Crypto Currency - Just A Worthless Commodity

By
 Prediction: At some point Crypto Currencies will all become worthless. I know that this is a strong statement that will irritate many but a review of the facts about the underlying basis for its value can lead to no other conclusion. Crypto Currency Dynamics: The brilliance of cryptocurrency is in its structure which gets rid of the need for intermediaries in its monetary system. No Governments or banks needed.  This is brilliant. The cost of intermediaries on a system is high, I won't go into that but if you look it up there is plenty written about it. Demand for crypto is strong and growing. People are learning about this new interesting monetary tool and seeing some get rich and it is very enticing. People are justifiably curious and more and more people are dipping their toes into the space. The Crypto Currency Myth:  Supply of crypto is limited. This is the crypto lie that everyone seems to be swallowing. The whole valuation argument for crypto is that it is limited and no o
Read more