How I Got the AI to Create, Code, and Backtest a Quant Portfolio in Python Without Writing a Single Line of Code! I wanted to explore the new capabilities of the Advanced Data Analysis module, available in the GPT-4 options. I provided ChatGPT with historical daily prices for SPY, TLT, and GLD, and asked it to devise a trading strategy with a strong Sharpe ratio. Simple enough, right? Here’s the prompt I gave to GPT, … Read more
There is no better moment to realize the value of a hedged and diversified investment strategy than now during this difficult coronavirus crisis. Logical-Invest has been developing hedged investment strategies for years with the goal of minimizing risk. Since we have been in a bull market for 11 years now, it has been hard to explain why an investor should not invest 100% of their portfolio in equity. Many investors started to believe that markets … Read more
Enhancing Harry Browne’s Permanent Portfolio The Permanent Portfolio is a simple, diversified portfolio You can construct it using 3 ETFs: SPY, TLT and GLD We enhance it by allowing variable allocations and monthly rebalancing We offer a free subscription so you can implement it in your own account including 401k or IRA What is the Permanent Portfolio by Harry Browne Harry Browne’s intention was to find a solution for the money “you need to take care … Read more
A hedge is always an investment which is negatively correlated to the main investment. When the main investment goes down, the hedge should go up and if the main investment goes up, then the hedge normally goes down. It is clear, that we like the first, which is to reduce the draw downs with a hedge, but not to reduce the gains. If you have a stock portfolio, then the main hedge possibilities are: A … Read more
An analysis of Harry Browne´s Permanent Portfolio and further enhancements towards: A Permanent Portfolio ETF Rotation Strategy employing Momentum, Mean Reversion, and Volatility Targeting. It’s not just cars. It’s investment strategies like the permanent portfolio, too. Vintage “all-weather” investment strategies are often simple, easy to execute and give amble ‘out-of-sample’ data. In other words one can see how they performed in life years after they have been proposed. And like the VW bug, they are … Read more
Logical Invest Investment Outlook March 2016 Market comment: February was another high volatility month, however it now looks like the world markets are slowly recovering. Here is a Year-to-Date chart of the world markets together with the defensive TLT (long duration Treasury) and GLD (Gold) ETFs. Last year, the normal inverse correlation of both TLT and GLD to equities failed to materialize for quite a long time. We had several months where Equities, Treasuries and Gold went … Read more
Logical Invest Investment Outlook April 2016 ETF strategies
Logical Invest Investment Outlook June 2016 Our top year-to-date strategies: The Leveraged Universal strategy with 17.1% return. The Maximum Yield strategy with 16% return. The Nasdaq 100 with 7.58% return. SPY, the S&P500 ETF, returned 3.46%, year-to-date. Market comment: This year, the old saying “sell in May and go away” seems to express many financial writers and investors. The March-April excitement has been replaced by fear and caution: A possible June rate hike by the Fed, the June 23rd British referendum over EU … Read more
Logical Invest Investment Outlook July 2016 Our top year-to-date strategies: The Leveraged Universal strategy with 29.4% return. The Maximum Yield strategy with 24.6% return. The World Top 4 with 12.6% return. SPY, the S&P500 ETF, returned 3.82%, year-to-date. Market comment: The big event for June was the British E.U. membership referendum. Contrary to widespread expectations, Britain’s vote was in favour of leaving the Eurozone. Anyone trading on the 23rd experienced unprecedented volatility as the VIX first crashed on expectations of the “remain” camp winning and subsequently spiked up … Read more
