TAA Model positions for February are listed in the table below.
TAA Models - Feb 2013
| TD Ameritrade ETF | Fidelity ETF | ALLOCATION | BASIC TAA MODEL POSITION | ENHANCED TAA MODEL POSITION |
|---|---|---|---|---|
| VTI | IWV | 20% | Invested | Invested |
| VEU | ACWX | 20% | Invested | Invested |
| VNQ | IYR | 20% | Invested | Invested |
| DBC | DBC | 20% | Invested | Invested |
| IEF (or VGIT) | AGG | 20% | Cash | Invested |
Between these two TAA Models, I recommend my Enhanced TAA Model, if you choose to follow one of my models. However, I show the Basic TAA Model as a courtesy.
These TAA Models are probably best for personal funds held within an individual retirement account (IRA). They could also be used to manage your 401k account if your 401k plan has sufficient funds available to create the same or a similar model.
The Basic TAA Model mimics the classic tactical asset allocation (TAA) model developed by Mebane Faber. It uses the same timing signals as Mr. Faber’s original TAA model.
As I’ve mentioned in previous posts, Mr. Faber’s TAA Model was the inspiration for my research and led to the development of my TAA Models. My Enhanced TAA Model is a result of that research.
Watch for a post or two next week concerning my Enhanced TAA Model. I am going to incorporate improvements to it that I use in my Enhanced TSP TAA Model and I will post about those improvements next week.
Also, I plan to add ETF options for a 100% Vanguard portfolio.
Have a great day!
Thanks Mike,
I’m looking forward to the Vanguard portfolio.
Monty