ETF Asset Allocation Applied To The Ivy Portfolio A Detailed Example Part 2

ETFs

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Last Monday, I took a huge contract; making the trade calculations for each ETF trading with a moving average of 200 days. I thought it was easy… man, this was a lot of trades! Before I jump with the actual calculation, I’ll share a few points to consider first:

#1 There are some trades that I have ignored

In order to list the trades according to the moving average, I have used Google Finance. Since there were moments where the closing price and the moving average were getting crossed every 2 days, I have skipped a few trades. So keep in mind that while it wouldn’t affect much the overall return of each ETF, but it would affect it if you trade with a small amount due to trading fees.

#2 Trading dates might now be completely exact

Since I had to cover 10 years of trade for each, I have decided to use the graphs from Google Finance as I have previously mentioned. However, this doesn’t give all the dates and trade prices (you skip a few days from one point to another on the graph). Nevertheless, the main point of this strategy is still respected; avoid most of the downfall and capture most of the uptrend.

#3 Trading calculations don’t take trading fees into account

I have not taken trading fees into consideration since they do not necessarily play a huge role in yield calculation. As you will see in the trading tables, there are several trades done for each ETF. Therefore, if you want to use the Ivy portfolio strategy, I strongly suggest you use it with a large amount. If you start your portfolio with $10,000, you may end-up eat a lot of your investment return in trading fees.

#4 I have “sold” all ETF on March 7th 2011

In order to have a “final yield”, I have virtually sold all ETF on March 7th 2011 even they were not meant to be sold according to the moving average. This exercise was to give you an idea of what works and what doesn’t with the Ivy Portfolio.

I leave you today with the table and I’ll return on next Monday with my final conclusion on the Ivy Portfolio and the ETF asset allocation model.

BOND ETF; SHY (Starting on August 2nd 2002) (total yield:4.80% vs 3.21%)

SHYDatePriceProfit/Loss $Profit/Loss %
Buy08/02/200281,58
Sell03/21/200382,110,53 $0,65%
Buy03/28/200382,43
Sell04/17/200382,21(0,22) $-0,27%
Buy05/02/200382,29
Sell07/18/200382,410,12 $0,15%
Buy09/26/200382,6
Sell10/17/200382,2(0,40) $-0,48%
Buy11/21/200382,35
Sell04/02/200482,460,11 $0,13%
Buy08/06/200482,06
Sell11/05/200481,71(0,35) $-0,43%
Buy07/28/200679,93
Sell12/29/200679,960,03 $0,04%
Buy02/23/200780,18
Sell05/18/200780,04(0,14) $-0,17%
Buy07/20/200780,19
Sell04/25/200883,132,94 $3,67%
Buy04/22/200882,99
Sell02/06/200983,970,98 $1,18%
Buy08/28/200983,86
Sell12/11/200983,52(0,34) $-0,41%
Buy04/30/201083,54
Sell11/12/201084,160,62 $0,74%
Total3,88 $4,80%

REITS ETF: IYR (Starting on March 2nd 2001) (total yield: 114.29% vs 64.15%)

IRYDatePriceProfit/Loss $Profit/Loss %
Buy03/02/200138,105
Sell09/14/200140,4152,31 $6,06%
Buy12/07/200140,42
Sell07/05/200242,4752,06 $5,08%
Buy03/21/200339,2
Sell04/08/200450,2511,05 $28,19%
Buy06/25/200450,7
Sell02/25/200558,6257,93 $15,63%
Buy08/29/200559,255
Sell10/14/200560,591,34 $2,25%
Buy11/11/200564,02
Sell05/12/200669,285,26 $8,22%
Buy06/09/200670,95
Sell06/16/200670,28(0,67) $-0,94%
Buy07/07/200672,4
Sell04/13/200785,9813,58 $18,76%
Buy10/05/200780,8
Sell10/19/200773,74(7,06) $-8,74%
Buy03/20/200866,83
Sell07/20/200864,6(2,23) $-3,34%
Buy09/12/200865,05
Sell09/26/200862,84(2,21) $-3,40%
Buy04/17/200932,23
Sell06/04/201047,2214,99 $46,51%
Buy06/18/201051,83
Sell07/02/201046,22(5,61) $-10,82%
Buy07/23/201050,71
not sell yet03/07/201158,437,72 $15,22%
Total46,34 $114,29%

US Stock Market: SPY (Starting on March 2nd 2001) (total yield:27.12% vs 6.55%)

SHYDatePriceProfit/Loss $Profit/Loss %
Buy03/02/2001126,21
Sell08/03/2001121,94(4,27) $-3,38%
Buy11/23/2001115,68
Sell02/08/2002110,09(5,59) $-4,83%
Buy03/01/2002113,74
Sell04/05/2002112,69(1,05) $-0,92%
Buy11/15/200291,4
Sell12/13/200289,34(2,06) $-2,25%
Buy12/20/200289,99
Sell01/24/200386,38(3,61) $-4,01%
Buy04/17/200389,56
Sell04/30/2004110,9621,40 $23,89%
Buy06/11/2004114,29
Sell07/02/2004112,88(1,41) $-1,23%
Buy08/24/2004111,45
Sell10/15/2004111,26(0,19) $-0,17%
Buy10/29/2004113,2
Sell03/18/2005118,545,34 $4,72%
Buy06/03/2005120,15
Sell09/23/2005121,441,29 $1,07%
Buy11/11/2005123,76
Sell05/12/2006129,245,48 $4,43%
Buy08/04/2006128,2
Sell03/09/2007140,7812,58 $9,81%
Buy03/23/2007143,39
Sell07/27/2007145,111,72 $1,20%
Buy09/21/2007151,97
sell11/09/2007145,14(6,83) $-4,49%
Buy04/18/2008138,48
sell06/20/2008131,58(6,90) $-4,98%
Buy04/03/200984,26
sell01/29/2010107,3923,13 $27,45%
Buy02/26/2010110,74
sell05/07/2010111,260,52 $0,47%
Buy03/09/2010110,89
Not sold yet03/07/2011131,4320,54 $18,52%
Total27,91 $27,12%

International Stock Market: EFA (Starting on August 24th 2001) (total yield 89.91% vs 46.58%)

EFADatePriceProfit/Loss $Profit/Loss %
Buy08/24/200142,867
Sell01/11/200239,031(3,84) $-8,95%
Buy03/08/200240,563
Sell06/14/200238,315(2,25) $-5,54%
Buy04/17/200332,501
Sell04/30/200445,55413,05 $40,16%
Buy06/11/200446,92
Sell07/23/200445,025(1,90) $-4,04%
Buy09/17/200446,92
Sell04/01/200552,7815,86 $12,49%
Buy07/15/200553,16
Sell10/21/2005551,84 $3,46%
Buy11/28/200556,15
Sell06/09/200661,915,76 $10,26%
Buy08/04/200666,12
Sell03/02/200772,46,28 $9,50%
Buy03/16/200773,25
Sell07/27/200777,644,39 $5,99%
Buy09/28/200782,59
Sell12/14/200779,94(2,65) $-3,21%
Buy04/04/200874,8
Sell07/13/200872,48(2,32) $-3,10%
Buy04/03/200940,54
Sell01/22/201053,8713,33 $32,88%
Buy03/12/201055,66
Sell04/30/201054,41(1,25) $-2,25%
Buy07/30/201051,91
sell08/13/201050,71(1,20) $-2,31%
Buy09/03/201052,49
Not sold yet03/07/201160,648,15 $15,53%
Total37,57 $89,91%

Canadian Stock Market: EWC (Starting on March 2nd 2001) (total yield: 102.69% vs 185.82%)

EWCDatePriceProfit/Loss $Profit/Loss %
Buy03/02/200111,82
Sell06/08/200112,020,20 $1,69%
Buy11/16/200110,58
Sell07/14/200210,680,10 $0,95%
Buy11/22/20029,35
Sell04/23/200414,234,88 $52,19%
Buy06/25/200414,15
Sell08/13/200414(0,15) $-1,06%
Buy08/20/200414,5
Sell04/15/200516,732,23 $15,38%
Buy05/27/200517,27
Sell11/21/200519,542,27 $13,14%
Buy11/11/200520,32
Sell05/19/200623,473,15 $15,50%
Buy05/26/200624,12
Sell06/09/200623,24(0,88) $-3,65%
Buy08/11/200624,2
Sell09/15/200623,52(0,68) $-2,81%
Buy10/13/200623,79
Sell01/05/200724,270,48 $2,02%
Buy01/19/200724,77
Sell03/02/200724,880,11 $0,44%
Buy03/23/200726,1
Sell04/17/200728,422,32 $8,89%
Buy08/31/200729,9
Sell12/21/200731,962,06 $6,89%
Buy04/04/200831,62
sell07/03/200832,30,68 $2,15%
Buy03/27/200917,06
sell01/22/201025,088,02 $47,01%
Buy02/26/201025,91
sell05/21/201025,68(0,23) $-0,89%
Buy06/18/201027,62
sell06/25/201026,43(1,19) $-4,31%
Buy09/03/201027,23
Not sodl yet03/07/21133,536,30 $23,14%
Total14,03 $102,69%

Emerging Stock Market: EWZ (Starting on March 2nd 2001) (total yield: 311.24% vs 343.4%)

EWZDatePriceProfit/Loss $Profit/Loss %
Buy03/02/200117,45
Sell03/16/200115,7(1,75) $-10,03%
Buy11/23/200111,49
Sell05/24/200212,070,58 $5,05%
Buy12/13/20027,59
Sell04/16/200416,218,62 $113,57%
Buy07/16/200416,09
Sell04/15/200521,175,08 $31,57%
Buy06/10/200523,3
Sell05/19/200639,4516,15 $69,31%
Buy10/06/200639,77
Sell03/02/200743,844,07 $10,23%
Buy03/09/200746,64
Sell08/17/200753,086,44 $13,81%
Buy08/24/200760
Sell01/18/200870,8410,84 $18,07%
Buy02/22/200884,39
Sell03/20/200875(9,39) $-11,13%
Buy04/04/200883,7
Sell07/03/200883,06(0,64) $-0,76%
Buy02/06/200940,25
Sell02/27/200934,2(6,05) $-15,03%
Buy03/13/200936,43
Sell01/22/201067,9731,54 $86,58%
Buy03/12/201073,23
Sell05/07/201063,9(9,33) $-12,74%
Buy07/23/201069,47
sell01/21/201174,995,52 $7,95%
Total65,49 $311,24%

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One Feedback on "ETF Asset Allocation Applied To The Ivy Portfolio A Detailed Example Part 2"

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