10/18/10

A bearish view

"Using this algorithm without leverage in a long/short 100% equity strategy has generated a 25.67% annualized return since inception (January 2006) with a Sharpe ratio of 2.29 and a max monthly drawdown of -5.22% in one of the most challenging market environments ever. The risk component has only been at current levels (or higher) twice in the last 5 years. The first instance was September 24th, 2007 at S&P 1526. Just shy of the all-time high and prior to a multi-month decline of almost 20%. The second instance was January 5th, 2009 at S&P 890. We had rallied 11% off the October 2008 lows and we all know what happened next. The market took a nose dive down to the March 2009 lows for an epic two month collapse of 25%." (Source: Pragmatic Capitalism)

There are plenty of bearish views around. This is another one.

George Dagnino, PhD
Editor, The Peter Dag Portfolio. Since 1977
Ranked best market timer in the 12 and 6 months ending 8/20/10 by Timer Digest

To find out more about my in depth views of the markets and my strategy just visit our website https://www.peterdag.com/ where you can subscribe to The Peter Dag Portfolio. You can also call me at 1-800-833-2782 to discuss your specific investment portfolio.

Disclaimer.The content on this site is provided as general information only and should not be taken as investment advice nor is it a recommendation to buy or sell any financial instrument. Actions you undertake as a consequence of any analysis, opinion or advertisement on this site.

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