ETF Core Plan
This plan uses a portfolio of four ETF strategies - VIX Plan, SPDR+iShares Mix, Ultra SPDR Mix and Best of SPDR
These strategies are designed to pick the best of breed ETF across different sectors and asset classes
At any point in time, you will get recommendation for the best ETF for each strategy to be held for the period until our underlying models suggest a change in the ETF(s). When a change is needed, you will get a recommendation for selling the current ETF(s) and buying a new one that we recommend.
Average number of trades / year: 14 to 17
Is our money invested in these strategies: YES
Past Performance
20% each for VIX, SPDR+iShares and Ultra SPDR and 40% Best of SPDR
Returns
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25 years: 29% p.a.
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10 years: 27.1% p.a.
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3 years: 18.1% p.a.
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3 months: 9.7% increase
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1 month: 4.8% decrease
Risk
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Probability of 15% y-o-y loss: 0.91% vs 22.1% for S&P500
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Sortino Ratio: 9.3 vs 2.1 for S&P500
How to use?
You can use this strategy in any account where you can buy regular and leveraged ETFs.
If your account does not offer the ETFs , then use the ETF that is closest to our recommendation.
This is a good balanced portfolio that we have deployed as our CORE investment with ~15% of our total trading capital. We layer in other strategies on top of this CORE.
For the CORE, we maintain the following mix across the 4 strategies:
VIX Plan: 20%
SPDR+iShares Mix: 20%
Ultra SPDR: 20%
Best of SPDR: 40%