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Introducing:
a Bull & Bear hybrid portfolioWe have all heard the old
adage Bulls make money. Bears make money. But what we dohear is how
to make money on both sides of the trade.
Your bullish portfolios have most likely stumbled across
unforeseen bearish obstacles in tpast. The move might have been
temporary or even transitory. What ever the situation, itnever easy
to explain to clients temporary losses at the end of the quarter,
whether they are paper or real dollar losses.
The Hardline portfolio is managed by a proprietary trading
algorithm which utilizes SPY (SPDS&P 500) and the SH (ProShares
Short S&P500) ETFs. Regardless of market sentiment,
emotion, geo-political risk, or sovereign default risk, the
algorithm seeks profitable trades,providing clear signals when to
enter and when to exit trades in bull or bear market moves,updated
on a daily basis. Based on these signals the portfolio will be
either long the SPY, lothe SH. At times when indicated by the
algorithm, portfolio allocations can be held entirely cash,
awaiting for the appropriate entry point to trade. If the algorithm
signals cash, why riskon a trade.
The charts and information below show back tested
portfolioperformance from 2008 to date. The time-tested,
technologydriven, and disciplined algorithm and offers consistent,
highlyprofitable results..showing how you can tame the bulls
and
the bears.
Strategic Options, LL
www.strategic-options.comCopyright 2011 Strategic Options,
LLC
8/3/2019 A Bull and Bear Hybrid Portfolio
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Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec YTDS&
50
2011 2.5% 3.4% -1.2% 2.7% -4.1% 7.0% -1.9% 8.0% 3.4
2010 0.4% -0.4% 5.8% 1.3% 4.1% 9.1% -0.7% 6.2% 0.3% 3.8% 0.0%
6.0% 41.0% 15.
2009 -1.3% 11.6% -10.4% 9.7% 10.0% 2.1% 8.4% 3.9% 2.8% -1.8%
2.8% 1.4% 44.0% 26.
2008 0.0% 1.9% 0.9% 1.8% 2.7% 12.3% 0.8% 0.0% 6.2% 13.9% 3.9%
-3.1% 54.0% -37.
Average trade per year 34
Average duration of trades 15
Max Gain From Trade 28.08%
Max Loss from Trade -5.46%
Total return from Jan 08 to Jun 11 417.0%
Monthly Performance
Portfolio Characteristics
Strategy
Hardline Portfolio vs. S&P 500
The Hardline portfolio utilizes a proprietary trading
algorithm to determine position entry and exit points f
the portfolio components. The Hardline portfolio utilize
the SPY (SPDR S&P 500) and the SH (ProShares Shor
S&P500) ETFs. Positions are adjusted when triggered
the algorithm. Trade cycles are determined by the
volatility of the market. They will typically shorten with
higher volatility. The Portfolio will be either long the SP
long the SH, or on occasion, in cash when the algorith
indicates cash as the prudent position for the portfolio
assets.
ObjectiveThe Hardline portfolio is designed to generate
double
returns in excess of the S&P 500 in bear or bull marke
Hardline Portfolio Strategic Options, L
www.strategic-options.
Click here for a detailed chart or visit
www.strategic-options.com/hardline.
Copyright 2011 Strategic Options, LLC
8/3/2019 A Bull and Bear Hybrid Portfolio
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Disclosures
www.strategic-options.com
he returns presented here are hypothetical, based on Strategic
Options LLC algorithms. The returns reflect the reinvestment of
an
ncome and dividends received on securities represented in the
indices. Actual account returns will vary depending on the
custodia
lients select for their accounts and the instruments available
for investment through each custodian. In situations where there is
n
ptimal investment option for a particular allocation on the
clients chosen custodial platform, a position is either left in
cash or the
est available alternative is utilized. This is not the
recommended solution and Strategic Options, LLC can not be held
responsible
maintaining returns. Returns do not reflect management fees
which are typically deducted quarterly.
All potential purchasers should carefully review the Prospectus,
including the Risk Factors described in the Prospectus. You
shoul
lways consult a competent tax advisor regarding the implications
of this product, or any use of this product in your particular
ituation.
ACTUAL NET PERFORMANCE WOULD BE FURTHER REDUCED BY THE
MANAGEMENT FEES ASSOCATED WITH MUTUAL FUNDS, ETFS
AND NOTES, AS WELL AS ANY COMMISSIONS OR TRANSACTION COSTS THAT
WOULD BE BORNE BY THE INVESTOR. INVESTING
NVOLVES THE POTENTIAL FOR GAIN AS WELL AS THE POSSIBILITY OF
LOSS. PAST PERFORMANCE DOES NOT GUARANTEE FUTUR
RESULTS.
he Hardline portfolio is different from many portfolios in that
it seeks inverse leveraged returns and only on a daily basis. The
Fun
as more risk than similarly benchmarked exchange traded funds
that do not use leverage. Accordingly, the Fund may not be
suita
or all investors and should be used only by knowledgeable
investors who understand the potential consequences of seeking
daily
nverse leveraged investment results. In any case, investors
should always actively monitor their investments.
DEFINITIONS:
he S&P 500 Index is an unmanaged market indexes and cannot
accommodate direct investment, include the reinvestment of
ividends and interest, do not include management or transaction
fees and do not consider taxes. S&P 500 is a registered
tradema
f The McGraw-Hill Companies, Inc.
SPY ETF: The investment seeks to replicate, net of expenses the
S&P 500 index. The index is composed of 500 selected stocks,
an
pans over 24 separate industry groups. It is heavily weighted
towards stocks with large market capitalizations and represents
pproximately two-thirds of the total market value of all
domestic common stocks. The fund holds all of the S&P 500 index
stocks.
omprised of undivided ownership interests called SPDRs. It
issues and redeems SPDRs only in multiples of 50,000 SPDRs in
xchange for S&P 500 index stocks and cash.
SH ETF: The investment seeks daily investment results, before
fees and expenses, which correspond to the inverse (opposite) of
the
aily performance of the S&P 500. The fund invests in
derivatives that Proshare Advisors believe should have similar
daily returnharacteristics as the inverse of the daily return of
the index. It invests typically the rest of the assets in money
market instruments
he fund is non-diversified.
WM ETF: The investment seeks to replicate, net of expenses, the
Russell 2000 index. The fund invests at least 90% of its assets
in
ecurities and in depositary receipts representing securities of
the index. It invests in approximately 2000 of the smallest
apitalization-weighted companies in the Russell 3000 index.
EM ETF: The investment seeks investment results that correspond
generally to the price and yield performance of, before fees an
xpenses, of the MSCI Emerging Markets Index (the underlying
index). The fund generally invests at least 90% of assets in
the
ecurities of its underlying index and in depositary receipts
representing securities in its underlying index. The underlying
index is
esigned to measure equity market performance in the global
emerging markets. It is non-diversified.
DBC ETF: The investment seeks to track changes, whether positive
or negative, in the level of the Deutsche Bank Liquid Commodity
ndex a Optimum Yield Diversified Excess Return. The fund will
pursue its investment objective by investing in a portfolio of
xchange-traded futures on the commodities comprising the index,
or the index commodities. The index commodities are light, Sw
Crude Oil (WTI), Heating Oil, RBOB Gasoline, Natural Gas, Brent
Crude, Gold, Silver, Aluminum, Zinc, Copper Grade A, Corn,
Wheat,
Soybeans, and Sugar. The index is composed of notional amounts
of each of the index commodities.
QD ETF: The investment seeks investment results that correspond
generally to the price and yield performance, before fees and
xpenses, of the iBoxx $ Liquid Investment Grade Index (the
underlying index). The fund generally invests at least 90% of its
asse
n securities of the index and at least 95% of its assets in
investment grade corporate
onds. The underlying index is designed to provide a broad
representation of the U.S.
ollar-denominated liquid investment grade corporate bond
market.
Strategic Options, LL
Copyright 2011 Strategic Options, LLC
