Thursday, October 1, 2009

Regarding the SP500 Long Term "Long Only" Model:
Many people are in accounts where they can only "go long" the market, ie they only have the ability to buy stock funds, or switch their money to a money market, and they do not have the ability to "go short" the market.

Based on the SP500 Long Term Model I will report a SP500 Long Term "Long Only" Model that either is "Long the Market" (ie. buy stock funds) or is "in cash" (ie. in money market funds).

This is how the SP500 Long Term "Long Only" Model would have traded last year:
12/31/07 it already was Long the market
1/14/08 it went to cash, SP at 1416.25
4/14/08 it went Long the market, SP at 1328.32
6/9/08 it went to cash, SP at 1361.76
8/11/08 it went Long the market, SP at 1285.83
9/8/08 it went to cash, SP at 1267.79
So for 2008 it LOST -4.0%
It started 2009 in cash (9/8/08) and stayed there until 3/30/09.
3/30/09 it went Long the market, SP at 787.53
And is still Long the market with SP at about 1050...
So for 2009, so far, it is UP + 33.3%

SP500 Long Term Model : Went to 100% Long position at 1058.00
SP500 Long Term "Long Only" Model : Went Long the Market 3/30/09 at 787.53

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