Special Report: Updated Performance Data For Sector & Industry Group Ideas

Introduction

Table 1 below breaks down the 46 individual trade ideas as published in real time via our Sector & Industry Group Ideas table from March 17th 2023 through April 16th 2024, or about 13 months.  Our Sector & Industry Group Ideas are accessible directly from the Research Center and available via one of the six rectangles at the top of that page.

These ideas are intended to be potential short-term trading opportunities rather than longer-term investments. 

Table 1

Performance Highlights

• The maximum drawdown of 5.1% is almost half the 9.8% drawdown of the S&P 500 (SPX) during the same period.
• the percentage of winning trades is almost three times the percentage of losing trades.
• the average winning trade is 1.6% larger than the average losing trade
• the average winning trade length is twice as long as the average losing trade length

How We Choose Which ETFs To Trade

Our selection process is to scan a broad list of ETFs daily for three criteria: 1) a positive major price trend, 2) quarterly relative outperformance versus the benchmark S&P 500, and 3) expanding investor assets (AUM). Once these quantitative criteria have been met, we then subjectively select those ETFs that show the best risk/reward characteristics based on our 40 years of experience in the market.

Glossary Of Metrics

• Annualized Return
• Maximum Drawdown
• Sharpe Ratio
• Sortino Ratio

Contact us with questions or for additional information.

Disclosure/Disclaimer: The information on this website is provided solely for informational purposes and is not intended to be an offer to sell securities or a solicitation of an offer to buy securities. The strategies employed in managing this and other model portfolios may involve algorithmic techniques such as trend analysis, relative strength, moving averages, various momentum, and related strategies. There is no assurance that these strategies and techniques will yield positive outcomes or prevent losses. Past performance as indicated from historical back-testing is hypothetical in nature and does not involve actual client portfolios, does not consider cash flows or market events, and is not predictive of future performance. The model is managed by contemporaneously recording hypothetical trades. Such trades are not live trades and are not influenced by emotional or subjective reactions to extraneous market, economic, political and related factors. The performance for such model(s) is derived from utilizing a variety of technical trading strategies and techniques. Technical trading models are mathematically driven based upon historical data and trends of domestic and foreign market trading activity, including various industry and sector trading statistics within such markets. Technical trading models utilize mathematical algorithms to attempt to identify when markets are likely to increase or decrease and identify appropriate entry and exit points. The primary risk of technical trading models is that historical trends and past performance cannot predict future trends and there is no assurance that the mathematical algorithms employed are designed properly, new data is accurately incorporated, or the software can accurately predict future market, industry, and sector performance.  Asbury Research LLC does not and cannot provide any assurance that an investment in the model portfolios will yield profitable outcomes. The risk of loss trading in financial assets can be substantial, and different types of investment vehicles, including ETFs, involve varying degrees of risk.  Therefore, you should carefully consider whether such trading is suitable for you in light of your financial condition. An investor’s personal goals, risk tolerance, income needs, portfolio size, asset allocation and securities preferences, income tax, and estate planning strategy should be reviewed and taken into consideration before committing to a specific investment program. Please consult with your financial advisor to discuss the appropriateness of any strategy prior to investing. All investments involve risk. Principal is subject to loss, and actual returns may be negative. Returns are not guaranteed in any way and may vary widely from year to year.