On August 18th my models went long at the close on the following assets
ETFs EWZ, QQQ, OIH, SPY, EWJ, XLF. As of Aug 22 the system is down just over 6% which compares favorable with both the SP500 and the QQQs which are down 12.84% and 13.4% respectively. The massive EEM ETF faired even worse down over 15.8%. The last time this particular model saw such a down-turn was in 2008 where the downturn was even more pronounced. Remember that the idea was to create a model that has robust returns but avoids some of the major downturns. Now the volatility can be controlled by adjusting the amount of money an investor allocates in the model and the amount allocated to cash. Now that everything is more automated I will be updateing my positions more frequently.
Legal Disclaimer: Note that I am not a registered investment advisor so anyone using my trading signals does so at their own risk. This is not an offer to buy or sell securities
The purpose of this blog is to discuss topics in the ETF space. The ETF industry is exploding as an alternative to hedge funds. In this blog topics that will be covered will be Trading Systems and Trading Strategies, Risk Management and Hedging, whats new in ETFs in terms of product offerings etc. The idea is for this blog to act as a resource for end users of ETFs. Such end users may be private offices, hedge funds, insurance companies, asset managers.