'Lazy' portfolio

[intothebreach]

The Canadian Couch Potato has some interesting models that I've used in the past as a basic template to build one for my girlfriend.  Those need to be adjusted for US investors, but it's far from a bad starting point. In the end, I ended up only with wide-market ETFs, most of them Vanguard due to their low costs (typically much higher in Canada than in the US).

 

http://canadiancouchpotato.com/model-portfolios/

 

Word of advice for those considering this avenue, the keys are:

1. keeping the costs at their very lowest

2. making sure to include a fair mix of non-corrolated types of assets to make sure that when some zig, others zag (bond vs stocks vs reit for example)

3. rebalancing once a year (around tax preparation or year-end makes sense)

4. and especially sitting on your hands and resisting the temptation to tweak it from time to time (probably the hardest part for a lot of people!)

(5. for Canadian investors, do not select US-denominated stocks or ETFs within an account that automatically exchanges USD back to CAD, or better yet get an account that can hold USD)

[Bart]

Doesn't Horizon Kinetics offer an ETF of this?  http://www.ise.com/media/98506/ETF_WEALTH_RCH_0714.pdf

 

Thanks - now I just have to find a way to buy this with a EU broker (IB is not offering it). I have contacted ISE about this, I'll post an update here if I find out useful information.

[CorpRaider]

Wes Gray is launching his valueshares ETF here in a week or so (or at least the site goes live), I believe it will be based on the Quantitative Value approach in his work.  Do you own DD, but it might be one to watch, depending on the exp ratio. 

[oddballstocks]

Wes Gray is launching his valueshares ETF here in a week or so (or at least the site goes live), I believe it will be based on the Quantitative Value approach in his work.  Do you own DD, but it might be one to watch, depending on the exp ratio.

 

That will be interesting for sure, if it's a low expense ratio it's worth considering for a 401k or a hands off IRA.  I'll be curious to see how performance lines up with what's in the book.

 

I'm still waiting for someone to take the research in the book on F-scores and build something around it.  In QV there is a line saying if you take all below BV stocks and sort them by F-Score and buy ones with the highest F-score and short the ones with the lowest F-score you'd outperform by 23% a year.  It was disappointing that they didn't discuss this further, they brushed it off saying that below book value stocks are often too small and hard to buy.