U.S. Stylebox ETF Rotation
Today, style diversification is widely recognized as an important component to portfolio diversification. The general observation is that styles perform differently over time (the same way different assets-classes do).
A common investor dilemma is when to shift between growth and value oriented stocks.Multiple research papers show it is possible to apply momentum strategies to successfully rotate between equity styles (small cap value, large cap growth etc.) resulting in excess returns.
- Tactically shifting between the various Russell style box ETFs
- Starting with a basket of low-cost ETFs that are style specific, applying multiple periods of momentum and volatility analysis, and ranking the basket monthly
- The model holds the top two scoring ETFs each month
- The model provides a simple and effective means to gain exposure to the U.S. stock market
- The model is 100% rules-based and may at times hold cash or bonds as a defensive measure during periods of declining stock prices
From: $208.25 / month