Trying to get this out asap, since we have trades this month. See below!
The Pro-Folio USA model evaluates its holdings on a monthly basis. There are 2 trades this month. As of the last trading day of January (29th), we have the following trade signals:
- SPY – AVOID
- EFA – AVOID
- IYR – *** SELL *** Threshold: 74.28 Price: 72.00
- DJP – AVOID
- IEF – *** BUY *** Threshold: 106.58 Price: 109.11
For existing investors:
You should have spent the month of January invested in the holdings above that are marked HOLD or SELL. You should have kept the cash equivalent of the positions marked AVOID or BUY, ready to invest when those segment signals turn positive. Now, you should sell your position in IYR and use 1/5 of your portfolio value to buy IEF.
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.
I still owe readers the 2015 performance analysis. Rest assured it is coming!
Uncertainty abounds in the markets currently, with two of our three trades from last month reversing this month.
The markets may be uncertain, but fortunately for us, the Pro-Folio USA model has never lost more than than 1% of portfolio value: that was 2008, the worst year in recent memory and the only year on record that Pro-Folio USA lost value. Keep in mind, 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.
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.
Dear reader, spring is not too far away. Thank you for your interest in Pro-Folio USA!