Performances Most strategies were in the green for July. Rates: Inflation vs Recession For July the Federal Reserve raised interest rates by another 75 basis points (bps), taking the fed funds rate to 2.25% – 2.50%. A few days before the ECB hiked rates by 0.5% lifting them from the previous -0.5%. This was the first time the ECB raised rates in 11 years. These are actions that the central banks are forced to take … Read more
Important updates to all strategies and portfolios We have major updates to our strategies. You can read a detailed description on what has changed, why and how that affects the website charts going forward. We extended our #Cash (or STBS)and #Hedge sub-strategies so more strategies can use them. We have added VTIP or ‘inflation protected cash’ to #Hedge . We added the #Cash sub-strategy to the Universal Investment strategies and to the Enhanced Permanent portfolio strategy. We updated Nasdaq and Dow components as well as … Read more
Now is when you need rules – Subscribe This has been a tough year as most portfolios suffered losses. Neither equity nor bonds have provided protection, while gold has remained flat. It is a good time to stick to rules and protect capital while being able to participate in any rebound. Top 3 Strategy Allocations -Follow up Following up on last month’s publicly announced allocation to the Top 3 strategy, we can see a tolerable … Read more
Sell in May and go away? The SP500 fell -8.8% in April, down -13% year to date (YTD). The current chart looks scary enough to warrant a temporary rally. If not there is room below for further correction. Should one go to cash or stay invested?Should one adjust their portfolio and how? Top 3 Strategy Allocations – Free preview Below are the upcoming allocation for our Top 3 strategy. We are providing these not as … Read more
Monthly strategy performance table A look inside our strategy development process A Proposal on listing all sub-strategies Eropean based investors and U.S. ETFs Strategy Performance – Moderate gains on Equity rebound Most of our strategies were positive as the market rebounded from last month’s selloff. Logical Invest Strategy development process – A look inside Our philosophy in portfolio construction is controlling risk via diversification and hedging.Here is our typical construction process for a strategy such … Read more
Strategy Performance – Protecting capital All of our strategies protected capital, with positive gains or small losses (mostly less than -1%). The S&P fell -3% for the month. TLT was at down at -1.6%. War in Europe Just as we were hoping the COVID pandemic is finally past us and we can return to some degree of normalcy, war breaks out in Europe. Russia invades Ukraine and the world as we know it changes. These … Read more
The stick and the carrot Fro the sake of argument, let us imagine that the FED is the parent and we, investors, we are the children. The parent gives us money and we spend it on toys, candy and what not. We get comfortable consuming as we assume the parent always provides,. All is well. We keep buying and eventually force candy prices up. The parent gets uncomfortable with the new prices and next time … Read more
We wish you a healthy, fulfilling new year near your family, friends and communities. Strategy Performance Most of our strategies were positive for 2021. Highlights were the Crypto & Leveraged strategy and the Nasdaq100. Most other strategies did well but unperformed the SP500 since they were partly allocated in safer assets, namely gold, Treasuries and TIPS. The new Economic Regime: Rising rates One thing has been clear this past year: The Fed and other central … Read more
Corona virus is back again After several months of perceived calm, in late November increasing SARS-CoV-2 incidence rates in Europe and news about the new variant Omicron, B.1.1.529, classified by the WHO as of concern, shook markets again. Not helping were also economic reports confirming inflation rates might not be as transitory as perceived in previous months, but rather here to stay – thus increasing the pressure on central banks to start the tapering process … Read more
Everything is green again October was an exceptional month for our strategies. Our newest and most aggressive one, the Crypto and Leveraged Top 2 returned an exceptional 45% for the month. Our non-crypto leveraged strategies also had a good month as equity (SPY +7%), bonds (TLT 2.5%) and gold (GLD 1.5%) returns were all positive. For October, our long running Universal Investment Strategy 3x Leveraged strategy returned 13%, our US 2x Market strategy 11% while … Read more