Ron Bertino – Portfolio Investing

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Portfolio Investing download , Ron Bertino – Portfolio Investing review , Ron Bertino – Portfolio Investing free

Ron Bertino – Portfolio Investing

The ideal setup for smooth and consistent returns
As you saw in the Ray Dalio video from above, the ideal situation is to trade a bunch of uncorrelated portfolios together.

Since the profits and losses of the different portfolios will come at different times, this will result in smoother overall returns.

Here are the cumulative returns of a sample of 9 different portfolios that you’ll learn when you complete the course. There is no subscription cost involved nor any extra purchases you need to make in order to learn these 9 portfolios. It’s all contained within the course and the private forums for the course.

The cyan colored line at the very bottom (worst performing) is what the industry tends to use as a benchmark. This is the equivalent of investing 60% of your money into the main stock market and 40% into bonds.

You’ll find that the majority of hedge funds are unable to beat the performance of this 60% stocks 40% bonds split. Yet, you can see above that you’ll learn to trade multiple portfolios which have easily beaten this benchmark in the past, especially when you include stock market crashes.

Recall that the stock market crashed by -50% during the 2008/2009 period. The benchmark of 60% stocks and 40% bonds did better, since it drew down by -32%.

You can see that the majority of the 9 portfolios you’ll learn about within the course drew down far less. Most drew down by around -10%, and the more aggressive portfolios drew down by on -20%, at times when the stock market was down by -50%.

If you were to do nothing other than invest equally into all 9 of these portfolios, then your equity curve would look like the following.

Even during the 2008/2009 crash, when the stock market was down by -50%, this equal weighted portfolio was down only -12%. Notice what a smooth and steady ride you get.

Every $1 you invested at the start of 2006 has grown to over $4 by the start of 2019. That’s 400% growth in 13 years, all while experiencing a max drawdown of just -12%. Pretty darn good!

Take a peek behind the curtain
…a LONG peak
While this course has roughly 12 hours of video content (with an extra couple of hours being added in the next few weeks), it’s only natural that you should be curious as to whether you’ll be able to extract value out of it, especially if you haven’t seen me do presentations in the past.

In order to put that concern to rest, I’m going to make available one of the early modules from the course.

This is a video that explains many of the ways that you can be tricked by trying to interpret performance data.

This is not some little 4 minute video giving you a tiny sneak peak. This is one hour and 18 mins of content for you to review. It’s an entire module from the main course.

How data can trick you

So what’s stopping you?
If you’re interested in finance, you’ve likely flipped through a book on investing or perhaps checked out some blogs about portfolio management, but found it all a bit too complicated.

Variance, standard deviation, co-variance, beta, correlation, Sharpe ratio, Martin ratio, Value at risk, efficient frontier, risk parity, etc. The list goes on an on, and nobody is clearly explaining what these things are in simple terms that a normal human can understand.

This is a big reason as to why most people end up finding it all too difficult and then just give their money to mutual funds or hedge funds, and then resort to just crossing their fingers hoping that they haven’t made a terrible mistake.

It’s time to make a change
The main aim of this course is to explain all of those technical financial terms in a way that is simple and easy to understand.

Many of the concepts are explained visually, and we focus on understanding the core idea without getting deep into the weeds.

We focus on things that are practical, and are later applied onto the analysis of real portfolios.

We will build some spreadsheets together, step by step, in order to make sure that the concepts and calculations are fully understood and internalized.

We’ll make use of some extremely powerful and functional online tools that can automate much of the portfolio analysis, and all without needing to write a single line of code.

In the course we’ll cover around a dozen or so pre-made portfolios that you can start off with. Additional portfolios and trading strategy ideas will be added over time, as our community continues to grow and share ideas.

Course contents
Introduction

• Welcome to the course
• Strategic versus tactical asset allocation
• Introduction to bonds
• Asset classes
• Hedge funds
• How data can trick you

Returns

• Getting historical data
• Linear versus log scale
• Arithmetic and log price returns
• Cumulative arithmetic and log price returns
• Converting arithmetic and log returns
• Arithmetic and geometric mean
• Wealth index
• Performance charts

Measuring risk

• Variance and standard deviation
• The portfolio effect
• Sharpe ratio, Sortino ratio, Calmar Ratio, Martin Ratio
• Alpha and Beta
• Correlation and R Squared
• Treynor Ratio and Information Ratio
• Value-At-Risk and Expected Shortfall

Factor models

• Capital Asset Pricing Model (CAPM)
• Fama French 3 factor model

Permanent portfolios

• Equal and Value Weighting portfolios
• Calculating portfolio returns
• Review of 5 different permanent portfolios

Moving average filters

• M.A.F. – single asset
• M.A.F. – all assets in a portfolio

Modern Portfolio Theory

• Introduction to MPT
• Correlation and the correlation matrix
• Efficient frontier
• Minimum variance portfolio and mean-variance efficient portfolios
• Rebalancing
• Return vs risk graph
• Capital Allocation Line, and margin effect on returns
• Kelly Criterion – optimal f
• Inverse variance portfolio
• Risk parity portfolio

Dual Momentum

• Review of 6 different dual momentum portfolios

Other portfolios

• Review of two Adaptive Allocation portfolios
• Review of two Core-Satellite portfolios

Spreadsheets and automation
We will jointly construct spreadsheets that reinforce the concepts presented in the course, using the free Google Sheets technology.

Stock analysis spreadsheet

We will:

• import historical data from multiple sources
• calculate arithmetic and log returns (standard and cumulative)
• create a performance graph in both linear and log scale
• calculate and graph drawdowns
• calculate various performance and risk stats such as: arithmetic and geometric mean, variance, standard deviation, downside deviation, Sharpe ratio, Sortino ratio,
• Value-At-Risk, Skew, Kurtosis
• create a pivot table and bar graph showing the historical monthly seasonal performance
• display return frequencies and map that to a normal distribution curve in order to be able to visualize skew and kurtosis

(Don’t worry if all of the above terms sound complicated to you right now. By the end of the course, you’re going to be crystal clear on what they mean and how they work)

Conversion spreadsheets

The first spreadsheet will take output from one of the online portfolio backtesting tools we will use, and then convert the output into a clean time series, which we can then analyze in more detail.

The second spreadsheet will do something very similar, but will take calendar style returns as the input and then convert it into a clean time series for further analysis.

Comparison spreadsheet

This spreadsheet will take the log returns of the clean time series data we have now created, and will show the results of two different portfolios side by side, together with stats comparing the two.

Google Apps Script automation code

One of the aims of this course is to present everything without getting into any programming code.

That said, I have created some Google Apps Script automation code which will greatly assist with some of the above steps, in terms of the conversion and comparison spreadsheets I’ve mentioned above.

I do not get into explaining any of the Google Apps Script code within the course, but I do make the source code fully available, for anyone who wishes to use it as a reference for their own spreadsheet automation work.

Are you an existing options butterfly trader?
If you don’t trade broken wing or standard options butterflies, feel free to completely skip over this section.

If you do trade options flys, then you may have come to realize that the right wing of the put fly (debit) tends to almost neutralize the credit from the left wing of the fly.

This tends to leave a fairly significant amount of “cash” in your trading account, even though you may be fully utilizing the account for your options trading.

That “cash” can potentially be used in order to buy conservative ETF portfolios.

Let’s say that your options trading is going along really well, and you’re making a 20% return per year.

After going through this course, you could then consider applying your new knowledge in order to buy some ETF portfolios with that “unused cash”, and aim to extract an additional yearly return of perhaps 6% to 10%, with a conservative portfolio which has historically shown to draw down by just 10% over the past 50 years.

Even a 6% bump on your existing 20% return from your options trading is quite a significant improvement, and this is done by using your “unused cash”.

Let’s do it!
In just a few hours you’ll be able to learn and understand many of the financial concepts which have been preventing you from confidently controlling your own investments. You’ll have access to a dozen or so pre-made portfolios which you can potentially start trading immediately. You’ll also be joining an existing private community of hundreds of traders who are already helping each other out and trying to grow together.

Commonly Asked Questions:

1. Business Model Innovation: Acknowledge the reality of a legitimate enterprise! Our approach involves the coordination of a collective purchase, in which the costs are shared among the participants. We utilize this cash to acquire renowned courses from sale pages and make them accessible to individuals with restricted financial resources. Our clients appreciate the affordability and accessibility we provide, despite the authors’ concerns.
2. Portfolio Investing Course

• There are no scheduled coaching calls or sessions with the author.
• Access to the author’s private Facebook group or web portal is not permitted.
• No access to the author’s private membership forum.
• There is no direct email support available from the author or their team.