Models
ETF Strategy: Do-It-Yourself Hedge Fund - Conservative

The idea of a hedge funds sounds great to a conservative investor: go long in good times and short in bad times, or go long and short simultaneously in order to eke out a stable level of absolute return. The reality hasn't always measured up, especially when the market collapsed in 2007-08. But even so, there is something to be said for an approach that makes stability an important investment consideration, at least co-equal with returns. That's why many have studied hedge funds and built models attempting to replicate their performance. Unlike the academic approaches, this model does not try to "replicate" hedge fund performance. Instead, it aims to imitate some of important goals.   Full Article »

Models
ETF Strategy: Do-It-Yourself Hedge Fund - Aggressive

The 2000s has been the decade of the hedge fund, at least for a while. Not only did money flow into them, but managers became folk heroes and many studied them extensively, to the extent possible given the secrecy cherished by many funds, and built models that tried to replicate their results, often using ETFs. Unlike the academic approaches, this model does not try to "replicate" hedge fund performance. Instead, it aims to imitate some of important goals.   Full Article »

Models
ETF Strategy: Trend Leaders - Aggressive

The trend is your friend. Don't fight the tape. Etc., etc., etc. Although theoreticians wince, market veterans know full well that money can be made with trending strategies. And with ETFs it might actually be easier since it would take an abrupt reversal in a lot more than just one security to ruin the script.   Full Article »

Models
ETF Strategy: Trend Leaders - Conservative

It seems odd for the title of model to refer to both trend leadership and conservatism. Trend-based investing is often referred to as momentum and in the eyes of many, that is about as aggressive as one can get. That is, indeed, the stereotype. But in fact, the two notions are not necessarily incompatible.   Full Article »

Models
ETF Strategy: Rotation Leaders - Country Allocation

Many gurus expound on the virtues of global diversification. The idea is that international markets are poorly correlated with the U.S. and with one another. Therefore, country diversification should be an effective risk-management tool. This strategy attempts to implement such an approach using international ETFs.   Full Article »