Momentum Trend
The trend is your friend – Martin E. Zweig
Fund is a concentrated tactical portfolio invested primarily in common stock and, secondarily, ETFs, bonds, cash, as well as hedges. Provides favorable risk-reward by identifying growth opportunities.
Often the fund cycles / recycles among a roster of the same equities which deepens understanding of both their fundamentals & stock price movement. It also overlaps to a degree with our Core Compounders to complement one another.
Portfolios typically hold 8 to 10 positions, representing 4 to 5 diverse sectors (i.e., health, materials, technology, industrials). Sectors are represented by 2 companies & even-weighted. Equities selected are leaders in their industry. The portfolio is agnostic to market cap but tends toward medium- to large-cap.
The fund utilizes Macro and Fundamental analysis (geopolitics, market sentiment, Free Cash Flow; Return on Invested Capital; Intrinsic Value) + Quantitative (Technical Charting, Price Momentum, Trend) all fused into ‘Quantamentals’.
Our goal: attain exceptional gains while moderating volatility. Short-term swings, however, may present during very volatile periods. Such volatility usually attends catalysts &/or inflections. These are seized; then leveraged to a tactical advantage whereby we initiate or increase a position that improves the velocity of return on investments.
Each position is scaled into and portfolio is rebalanced, when appropriate, to reduce risk.
Accounts are monitored actively and may move into cash and fixed-income bonds or enter short positions to preserve capital.
Positions are sold upon unmet expectations or the investment thesis changes (such as a negative development with long term consequences).
Fact Sheet
Past performance may not be indicative of future results
| Momentum-Trend | Mid- to Large-Cap | Momentum / Trend | 2019 | 20.8% annualized |
| 8 - 12 | <25% annually | 1.2 | 1.5 | 1.1% |