Bonds , TAA Investing

Enhancing Returns of TAA Bond Strategies

Note: an enhanced version of this strategy, BOND-COMP, is now part of the Economic Pulse Newsletter Most tactical asset allocation strategies focus on equites. That’s completely understandable. They are the highest return asset class over the long run and that is where most of the TAA research has been done. The principle factor that most TAA strategies exploit, momentum, also…

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TAA Investing

Tactical Asset Allocation 1H 2019 Overview

Note: one of my posts from last year, When Models Fail, was chosen for Faber’s Best Investment Writing Volume 3. Check it out if you get a chance. Time to take a quick look back at 2019 YTD performance. In this post I present a quick overview of 1H 2019 Tactical Asset Allocation performance and make some brief observations. Let’s…

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Portfolio , TAA Investing

TAA Batting Averages: Calculating Base Rates for TAA Portfolios

In today’s post I want to look at long term TAA model performance in a different way. I think intuitively most investors realize that any strategy they pick will have periods of outperformance and underperformance. But decision making under real circumstances exposes us to all kinds of biases which often cause is to make intuitive, gut decisions based on incomplete…

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Newsletter , TAA Investing

When Models Work

“All models are wrong. Some models are useful.” This post is the second part of a white paper that I wrote for Economic Pulse Newsletter subscribers a few months ago. If you’re interested in learning more about the newsletter see here. Also, for more info on all kinds of TAA models I highly recommend Allocate Smartly. This is one of…

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Newsletter , TAA Investing

When Models Fail

“All models are wrong. Some models are useful.” This post is a white paper that I wrote for Economic Pulse Newsletter subscribers a few months ago. If you’re interested in learning more about the newsletter see here. Also, for more info on all kinds of TAA models I highly recommend Allocate Smartly. This is one of our main tenets at…

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