The Pro-Folio USA model evaluates its holdings on a monthly basis. There are two trades this month. As of the last trading day of April (30th), we have the following trade signals:
- SPY – HOLD
- EFA – *** BUY *** Threshold: 64.36 Price: 66.51
- IYR – *** SELL *** Threshold: 75.84 Price: 75.50
- DJP – AVOID
- IEF – HOLD
For existing investors:
You should have spent the month of April invested in the holdings above that are marked HOLD. You should have kept the cash equivalent of the positions marked AVOID or BUY, ready to invest when those segment signals turn positive. Now, it is time to sell your entire position of IYR and invest 20% of your entire portfolio in EFA.
For new investors:
If you are new to Pro-Folio USA this month, you should divide your portfolio into 5 equal parts, and invest an equal amount of money in each of the securities shown above, marked as “HOLD” or “BUY.” Because you didn’t invest in the “HOLD” components of the model at the time when the buy signal first turned positive, your return on these initial trades may not be reflective of the model’s typical expected returns.
Sometimes it seems that tragedy outweighs joy in the world. In Baltimore, Nepal, and many other places around the world, there is chaos and uncertainty. Please take a moment and do what you can to help those who need it the most.
Fortunately for us, the Pro-Folio USA model lost less than 1% of value in 2008, the worst year in recent memory and the only year on record that Pro-Folio USA lost value. As shown in the 2014 performance numbers that I posted recently, the long term average growth of the model is north of 8% per year. We can continue to follow the model with confidence that our assets will be protected. Sleep well every night!
If you want to get the PDF booklet showing you how to implement the Pro-Folio USA trading model on your own, click here.
If you want to learn more about the Pro-Folio Global upgrade portfolio, click here.
We are heading into the month of May – hopefully just about everyone is now free from the burdens of a difficult winter!
Dear reader, thank you for your interest in Pro-Folio.