Relative Power Movers
The full Power Investing process
in a professionally managed account
Our Power Investing process measures market strength on various levels giving us the most comprehensive view of market participation, flow and structure designed to help produce stronger and more consistent portfolios through any market environment. Here we use the Power Investing process in its purest form to build a relative strength based rotation system harnessing today’s rapidly expanding segmentation in the sector based ETF markets. This portfolios will be designed to enter and ride the trend of each position as long as it remains a relative strength leader based on the timeframe we are measuring. Our top down process and constant review also helps provide early warning of waning strength giving us time to plan our exit levels and parameters. By the time a spot opens in the portfolios the process also has us on top of the currently emerging trends and themes to quickly and easily fill the void. The Macro level relative strength views keep us in tune with how much to allocate and when to hit the breaks based on long revered price and participation measures.
Taking advantage of The natural rotation of money through the markets by identifying relative strength and seizing the opportunities through the ETF marketplace.
ETF Focused for These Specific Opportunities without Company Specific Risk
When we first started building the Power Investing process back in 2004, it all started because we wanted to be able to take advantage of sector themes we were seeing in the markets, but couldn’t really find a good way to compare them as well as other investment choices that were available for our clients. We wanted to maintain diversified portfolios, but felt there was definite value in incorporating the core and explore portfolio strategy to take advantage of themes we were finding in our technical research.
Back then, Mutual Funds were still the best way to take advantage of these, but that market was limiting in both choices and specificity with the sectors and industries that our relative strength research was uncovering. There just weren’t enough sector plays that were allocated properly to exploit the opportunities, but we also didn’t see the value in taking the many types of excess risk and costs that investing in the individual stocks brought with it; so we stuck with the sector rotation idea and it worked out quite well. Little did we know when we were building the system what was coming in the ETF world and the incredible synergies it brought to Power Investing. Over the last decade as we have seen the system blossom it was almost as if they were building this huge new world of securities that traded like stocks, diversified like mutual funds with much lower expenses and broader accessibility. Then the industry decided to eliminate trading fees greasing the skids even more for our type of process. Today there are thousands of ETFs to choose from in almost every niche idea, all the way down to the industry and focused theme levels. We couldn’t be any happier to be helping clients build better portfolios as the perfect storm of opportunity comes together.
The simplest path to improve portfolio performance versus the markets is to make sure you are invested in things that are outperforming the markets.
Pure Power Portfolio
This strategy is designed for the growth portion of your overall portfolio. It is the first pure rotation model we have launched focusing solely on the best Sector and Theme based ETF opportunities our Power Investing Process identifies. This strategy is dynamically adjusted with the goal of staying with strong trending positions as long as they continue to display the relative and absolute strength through our analysis. This portofolio invest only in non leveraged ETFs and does not need to utilize any margin so it can be deployed across a wide variety of account types.
Covering the Field
The key to better staying on top of these ideas is starting with a well cultivated list. The GT Select Sector ETF list is hand curated and frequently update with the top ETFs covering all of the sector and industry themes and ranks them on a relative basis without including of the leveraged plays. From Small Cap to large cap and all the niche sector plays in between, we include all the tradeable ideas to find the best performers among them. We don’t look at them weekly, monthly or quarterly, but stay on top of the ebbs and flows daily to keep a constant feel for the broad environment.
Natural Risk Aversion
These portfolio selection is based on relative performance based and in many ways momentum driven strong trending sector themes. This does add risk to the portfolio from many standards, but it also serves to help mitigate risk on both a relative and absolute basis over most environments by focusing on the strongest areas of the markets as a whole and naturally eliminating and replacing weakness with other positions that look to have better emerging possibilities. Combination of strong discretion and the best data available offer a great defense over the long term.
Portfolio Launch 1st Quarter 2021
Contact us now to learn more and be ready to add power to your portfolio and start the new year off right!
