July finds the model account holding half of its value in a 50/50 portfolio of long bonds with the iShares Trust Barclays 20+ Year Treasury Bond fund (TLT) and SPDR S&P 500 ETF Trust (SPY) exchange traded funds.
This balanced portfolio is complemented by defensive positions in the ProShares UltraShort FTSE China 25 (FXP) and the ProShares UltraShort DJ-UBS Crude Oil (SCO) ETFs. These two holdings tend to increase in value when global equity markets stumble.
Julex Dynamic Income Strategy recognized by Informa Investment Solutions.
The S&P 500 has fallen approximately 13% between August 27, 2010 and its recent April 23, 2010 high and being 90% cash during this period was not a bad place to be. The lower market in August allowed us to put a bit more money to work. We added Chipmos Technologies (IMOS) and Bank of America (BAC). We believe both will contribute to long term future performance.
The Volatility and Tactical Opportunity portfolio aims to benefit from the up and down swings of market volatility
The S&P 500 has gone almost four years without a 10% correction.
