Contents
Portfolio Construction & Analysis Toolbox
This portfolio construction guide combines macroeconomic indicators, valuation metrics, and technical signals to help you build and maintain a robust allocation strategy.
Chat with Finster to translate these tools into a portfolio tailored to your goals, risk tolerance, and tax situation.
Analysis Toolbox🔗
At its core, the Analysis Toolbox blends macro, fundamental, and technical perspectives to inform portfolio decisions: when to tilt toward growth, when to favor value, and when to hedge for risk.
Why Use the Analysis Toolbox?🔗
The Analysis Toolbox provides a systematic way to align allocation with market conditions and your objectives. It helps optimize timing, sizing, and diversification.
Economic Indicators: GDP & Inflation Trends🔗
Monitor GDP and inflation to determine sector tilts and duration exposure. Strong GDP growth supports cyclical and growth exposures; elevated inflation favors real assets and shorter-duration fixed income.
Valuation Metrics: P/E and EV/EBITDA🔗
Use valuation screens to identify opportunities and set allocation weights—overweight reasonably valued sectors and trim frothy exposures.
Trend & Momentum Indicators🔗
Technical indicators help fine-tune entry and exit timing for tactical tilts and rebalancing triggers (e.g., moving average crossovers or RSI extremes).
| Analysis Tool | Purpose | Application | Considerations |
|---|---|---|---|
| GDP & Inflation | Contextualize market conditions | Adjust sector allocations | Data lags; interpret with forecasts |
| P/E, EV/EBITDA | Assess valuation | Identify undervalued stocks | Industry context critical |
| Trend & Momentum | Time entries/exits | Use MA, RSI, MACD signals | Combine with fundamentals |
Building a Market Analysis Framework🔗
Integrate macro monitoring, valuation screens, and technical triggers into a repeatable process: set allocation rules, define rebalance bands, and establish tactical triggers for portfolio tilts.
Getting Started🔗
Share your goals, time horizon, and risk tolerance with Finster to receive a tailored portfolio construction plan and tactical rule set.