The table and chart below below display updated performance data through June 2015 for our “Correction Protection Model” (CPM).
We back-tested the model from 2007 forward during a period that includes uptrends, downtrends, and sideways trends. It has been running in real-time since September 2013.
Purpose & Key Features:
- Defensive, quantitatively-driven model that
- protects investors against market declines
- without sacrificing long term performance under a variety of market conditions
- while reducing volatility of returns.
Correction Protection Model (CPM) statistical performance through Q2 2015
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Correction Protection Model (CPM) growth of $100 since inception vs. S&P 500
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- The model is a defensive hedge against market corrections and bear markets that can decimate investor portfolios.
- The model utilizes 4 quantitative inputs.
- The model uses the S&P 500 as a proxy for the market.
- The model is binary: either in the market or out of it. There are no short positions, leveraged longs, or hedging via derivatives.
- The model was designed to: 1) be in the market as much as possible, 3) exit on meaningful declines, and 4) quickly re-enter as soon as a positive trend has been reestablished.
- Since 2007, the model has been in the market 74% of the time
- Since 2007, the model has averaged 3.9 signals per year or approximately 1 per quarter.
Interested investors can learn more about our research services by completing an information request or by calling 1-888-960-0005.