Investment Strategies Archives - Page 9 of 10

Correlation – Still the grand lady of Portfolio Diversification

It has been now 18 months since our post on “The power of diversification: Portfolios of Logical Invest Strategies”. Back then our main argument for diversification using a robust portfolio of several of our strategies was that “diversification is ‘a rare free lunch’, it is well accepted part of modern financial portfolios, and to stay financially healthy it is important not to skip lunch”.

Several new strategies have been published since then, among them the “NASDAQ 100” strategy, the “Gold-Currency” strategy and our “Hell on Fire”, the 3x leveraged Universal Investment strategy. At the same time, we went through the bumpy start into 2016 and most recently the waves created by the BREXIT referendum.

Does our stated hypothesis of formerly presented portfolios still hold true? How have the individual components performed, and most importantly, have they added value through low correlation? Have new optimum portfolios emerged since then?

Build Custom ETF Portfolios: Mid Year Review Portfolio Builder

For our „All Strategies“ Subscriber who use the Portfolio Builder to blend their own mix of Logical Invest Strategies, here some updates and a short mid-year review:

We have now included the “World Top 4 Strategy” into both the online an offline tool. To keep the charts readable, we opted for replacing the Aggressive Version of our “Global Sector Rotation”.
The preconfigured and optimized Markowitz Portfolios have been updated, only slight changes in the allocations occurred – all are <5%, so in most cases these can be neglected due to account size.

Update Portfolio Builder: Now including Universal Investment Strategy with 3x leverage

By request of several followers, we have now included the version with 3x leverage of the Universal Investment Strategy using synthetic SPXL and TMF data from 2002. Portfolio Builder now with leverage We’re about to publish a full article on this exciting option for this weekend, but want to pre-alert you about this upcoming adition. While this is a very aggressive strategy with leverage, it blends very nicely with a 10%-20% allocation into a portfolio … Read more

Permanent Portfolio – Will We Ever Kill The Bug?

permanent portfolio all weather fail save investment harry browne brownes bond term

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

Hedging Portfolio: Comparison of TMV, TMF or EDV

BlogBlogETFrotationstrategyFEZGlobalMarketRotationEnhanced

TMF is by far not so good as TMV short for hedging portfolio. Here is the 12 month comparison. While all treasuries had quite big losses of about -7%, a shortTMV position was flat over the year. I think for IRA accounts the better and saver way of hedging would be a part of the investment in the Bond rotation. This one should make 10-15% per year and is also good for hedging portfolio. Hedging … Read more

The Logical-Invest monthly newsletter for December 2017

Logical Invest Investment Outlook December 2017 Our top 2017 investment strategies, year-to-date: The Maximum Yield strategy with 51.57% return. The Leveraged Universal strategy with 43.37% return. The NASDAQ 100 strategy with 29.84% return. SPY, the S&P500 ETF, returned 20.25%. News: Our strategy development software QuantTrader has been updated and can once again fetch intraday prices. Market comment: November was another positive month for the S&P 500 with the index gaining +3.06 %. More risk-sensitive indicators such as the Russell 2000, emerging markets indexes as … Read more

The Logical-Invest Year End Review – 2017

Logical Invest 2017 Year In Review Overview: 2017 was another excellent year for our strategies with double digit returns and very low volatility. Although world economic data are positive, central bank tightening and possible rate increases may warrant more conservative approaches. We provide a basket of strategies to accommodate. Here are some of the best for this year: The Maximum Yield Investment strategy (+64%) The maximum yield was our very first quantitative strategy. It was … Read more

The Logical-Invest monthly newsletter for January 2018

Logical Invest Investment Outlook January 2018 Our top 2017 investment strategies: The Maximum Yield strategy with 64.84% return. The Leveraged Universal strategy with 49.13% return. The NASDAQ 100 strategy with 28.30% return. SPY, the S&P500 ETF, returned 21.70%. News: All-Strategy subscribers will be able to use QuantTrader ‘Light’ at no additional charge. Market comment: As we mentioned in our year-end review, the past year was characterized by large returns in U.S. and foreign markets and sustained low volatility despite an increase in geopolitical risk. … Read more

The Logical-Invest monthly newsletter for February 2018

Logical Invest Investment Outlook February 2018 Our top 2018 investment strategies, year-to-date : The Leveraged Universal strategy with +8.93% return. The NASDAQ 100 strategy with +8.59% return. The U.S. sector strategy with +4.39% return. SPY, the S&P500 ETF, returned +5.64%. News: QuantTrader Light is available to all subscribers, even to single strategy ones. Just download a copy and login with your LI username/password. Depending on your subscription level you will be able to access the corresponding strategies. This gives you the opportunity … Read more

ZIV/MYRS – how to go on after the crash

I have been asked in several emails on how to go on with existing ZIV positions, so here is a short note for our subscribers which still hold MYRS/ZIV positions. As you know underlying to ZIV are short positions of the VIX Futures month 4-7. So ZIV moves are about the same as the moves of the medium price of these Futures. As you can see in the above VIX term-structure chart, the medium price … Read more