Skip to main content

Is the Pull-back Enough?

The markets have pulled backed sharply today. The DOW was down over 200 points as of 12:17 pm. During the summer months- June, July and August, market activity naturally slows down. This is normally a good time to implement strategy. From a tactical standpoint, you use this time to adjust your existing portfolio and reallocate resources to industries and companies that you believe fits your investment goals. For example, my overall strategy is to focus on companies that we believe will do well in this political environment such as health care, technology, oil, gas and alternative energy, and lastly real estate.

Our goals are to look for and build positions in funds that have strong positions in companies with good valuations. That is what I will be working on today. On that note, volume on the ProShares Technology Fund (NYSE ARCA:ROM) is above average, though the fund is down around 4% today. ProShares also have a short fund to their long fund, the ProShares Ultra Short Technology Fund (NYSE ARCA:REW). I've thought about taking an investment position in the short fund but its too volatile to trade and use as a hedge. Maybe!

06/15/09 03:02 PM


UCS Investment Co., brings you diversified investment strategies in any way that you want: Equity Investments, Asset Allocation & Fixed Income, Cash Management, Alternatives, Mutual Funds, Exchange-Traded Funds (ETFs), Retirement Plans, and Separately Managed Accounts. Call for a free no cost financial planning or asset management services consultation now at 770-572-2715.
Labels:

Comments

Post a Comment

Popular posts from this blog

Portfolio Update

By Rick Walter I have posted a new Biotechnology portfolio . It's total return as of November 25, 2009 is 3.4%. However, to download and use it you will have to subscribe to the portfolio, of course. On an important note, I consider each portfolio to be well diversified in its particular sector but I've recently decided to add stock futures and options positions to each portfolio which will increase each portfolio's return but lower the risks going forward.
Post a Comment
Read more

Morning Update

By Rick Walter Still working on putting together a strong biotech portfolio. Here is a good general article on the state of the biotech industry that was posted yesterday on the online Wall Street Journal's site- Biotech Stocks Hot Right Now, Ho-Hum in the Long Run.
Post a Comment
Read more

Diversification and Risk

I am always trying to come up with new combinations of investments for the next exciting portfolio. Lately, I've been sort of stuck. The norm would be to build something like a QQQ portfolio , a Russell 1000 , or a Russell 2000 portfolio , maybe even a Mid-Cap or Small-Cap portfolio . Boring stuff if you think about it. I could get a little radical and try to build a pop culture type theme portfolio like the Sopranos portfolio , the Donald Trump portfolio - "your fired", or the Obama vs. Dick Cheney portfolio - a long/ short portfolio of course, with lots of defense stocks on the Cheney side of the portfolio. How about a Weapons of Mass Destruction portfolio - that would be a derivatives based portfolio with lots of CMOs'- sub-prime mortgages in the mix. Heh-heh-heh! We could really get creative and produce some wonderful stuff, but I don't know if they would make any money. Or maybe, I could build a portfolio such as a moderate Mid-Cap portfolio and just give it...
Post a Comment
Read more