Monday, April 27, 2015

New M3 FX model....04 27.15

This is a model I've been working on for quite some time. It's a spin off of the old M6 Small World model but uses the currency ETFs in lieu of the country ETFs. When the equities markets get squirrelly (like the past 4 months) and it's hard to find a trend this model may provide an alternative investment scenario.  Another nice feature (if you have a Schwab account) it that you can basically trade the model commission free since all the ETFs (except UUP) are in the Schwab One-Source portfolio. (use SCHB in lieu of SPY).
Note the total drawdown stats.  The model uses a .5% daily limit stop across the boards that effectively doubles the longer term returns.