The Micro-Cap Aggressive model added Direxion Daily Small Cap Bear 3X Shares (TZA) to their model this week. TZA is a bearish ETF that attempts to deliver results that correspond to 300 percent of the inverse of the Russell 2000 index. On October 8th, the fund was trading at a discount to NAV.
In the Trading the Odds model, which attempts to exploit favorable opportunities in the market that present a tradable edge, manager Frank Hogelucht added ProShares UltraPro QQQ ETF (TQQQ). TQQQ attempts to deliver performance that mirrors 300 percent of that of the NASDAQ-100 index. On October 8th, the fund was primarily invested in Nasdaq 100 swaps and the fund was trading at a premium to NAV.
Focal Point Management’s Quantitative Hedging model made an addition of iShares Dow Jones US Oil Equipment & Svcs Index Fd (IEZ) this week. IEZ mirrors the performance of the Dow Jones U.S. Select Oil Equipment & Services index. At least 90 percent of the fund’s assets are invested in securities on the index and, as of October 8th, over 94 percent of the fund’s assets were invested in the energy sector. On the same date, the fund was trading at a discount to NAV.
In his Price Volatility Volume model, manager William Smith added Xyratex Ltd (NASDAQ: XRTX). The Price Volatility Volume model attempts to achieve absolute performance rather than just beating the market. To do this, Smith looks for overbought and oversold equities and evaluates price, volatility and volume before adding them to the portfolio. XRTX offers network storage and infrastructure solutions. They have a low price to earnings ratio compared to competitors and their third quarter 2010 financial results showed a 74.7 percent increase in revenues from the same quarter of the previous year.
