I figured I could wait until 3:58 EDT to place the trade, two minutes should be enough to complete a trade--a partial fill for an across the board trade is not a desirable outcome. The SPX stayed above until about 15 or 20 seconds before the close and ended the day 0.18 points below so same plan for tomorrow.
If the market takes back the 200 DMA and stays above then no further defensive action would be needed and in fact we would look to deploy cash in the large accounts with a tilt toward less volatility and more yield as mentioned in past posts in the last few weeks. The two recent sales have served to reduce the volatility.
Monday I had an article published at theStreet.com about the new AlphaClone Alternative Alpha ETF (ALFA). The fund "clones" hedge funds by investing based off of 13-f filings. Despite what would appear to be stale information the results the firm has published at its website are surprisingly good.
On the heels of ALFA Global X launched a similar product; the Global X Top Guru Holdings Index ETF (GURU). GURU is cheaper, has fewer holdings and all the holdings appear to be equal weighted. ALFA can allocate more to a stock if more managers report owning that stock. For example ALFA has about 7% in Apple while GURU as about 2%.
I was not able to find any sort of back test-like result for GURU on the fact page or investment case presentation but ALFA published a result of 17% annualized since 2000. If these funds do well going forward then a big part of the reason why will be that the ETFs won't have to overcome the 2 and 20 fund fees. And as far as the lag in reporting, apparently in AlphaClone's history it hasn't mattered enough to hurt returns.
10 comments:
Roger: If inflation continues to affect the cost of your razors, you may want to join my group, the Bearded Men of America. You'll save money and save time, too.
the saving time aspect is very appealing but I couldn't pull it off
Maybe you should check out Dollar Shave Club then.
Just in the last few weeks I couldn't pull the trigger at Wal Mart on the Gillette blades I've been buying for years.
I bought disposables.
The experiment is ongoing.
Durango Wayne
disposables rip me up pretty bad
I've had a beard for40+ years. Back when I was working I shaved and trimmed almost every day. Now that I am retired and particularly as I get older I find I can get by shaving just once a week and people call it "character". Another way to fight inflation...
working from home=shaving every other day
I am quite satisfied with my electric razor; haven't bought razors in decades.
I have more than one friend who has gone old school due to cost. Straight razor, leather strop (is that the right word?) in the bathroom to sharpen it.
I look forward to seeing how the "alternative" ETFs that purport to track hedge fund and gurus do. Thing is, I'm not sure off the top of my head what I'd compare them to. i.e. how I can track hedge fund performance.
Roger, I have written before but thanks for sharing your insight with the world through this blog. I've learned a lot from what you've had to say.
Several months ago I converted to a safety razor. It was a little scary at first but shaving is much more pleasurable now, and the blades themselves are far, far cheaper than the Gillette kind. I use a Merkur #180 (bought through Amazon) and couldn't be happier.
Brian in Seattle
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