Can I also switch into cash when a strategy switches to the EDV Treasury ETF?

Can I also switch into cash when a strategy switches to the EDV Treasury ETF?2017-03-03T15:27:26+00:00
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  • Frank Grossmann
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    Post count: 161

    Sure you can. EDV is an ETF which is normally makes inverse moves to the stock market. So, if EDV is rank 1, then this just tells you to be cautious.
    EDV is quite an aggressive investment which profits a lot if the markets go really down. You can always switch to another Treasury ETF or cash if you think we are rather in a sideways going market.
    EDV can be replaced for example by TLT, TLH, IEI or cash. EDV is the longest duration ETF with the biggest moves (volatility) and IEI a short term Treasury with small moves.

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