Skip to main content

Bearishness, begone!

The returns of my Trend Asset Allocation Model have been strong. Based on an "out of sample" record of signals from 2013 and a simulated portfolio that varies up to +/- 20% from a 60/40 benchmark, the model portfolio has managed to achieve equity-like returns with 60/40-like risk. Performance has also been consistently positive in the shorter time frames (to July 26, 2022).
  • 1 year: Model portfolio -8.1% vs. 60/40 -9.8%
  • 2 years: Model portfolio 7.1% vs. 60/40 4.2%
  • 3 years: Model portfolio 10.2% vs. 60/40 7.1%
  • 5 years: Model portfolio 10.9% vs. 60/40 7.8%
   
The Trend Model turned neutral from bullish in January 2022 and turned bearish in March. Amidst all the gloom about a global recession, it's time to become more constructive on equities. The signal has been upgraded to neutral from bearish.
Here's why.

The full post can be found here.
Stock Quote API & Stock News API supplied by www.cloudquote.io
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.