This document has been compiled using indicators provided by the Market-Signals trading bot which studies global market data. This document shows the evolution of the strategies proposed by the bot and gives the trends of a selection of ETFs, which follow the main world markets, for December 2022. The strategies hold only long positions. No leverage is used. This document is for information purposes only and should not be taken as investment advice.
Global Market Breadth
| Market | Trend | Direction |
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| US stock market |
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| US bond market |
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| US Treasuries |
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| US Real Estate |
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| Europe Equities |
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| Japan Equities |
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| Emerging Market Equities |
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| Gold |
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Portfolios
US Growth Portfolio
T
he portfolio US Growth shifted upwards 0.35% in November. We find a positive trend in the U.S. stock market, we assume a Risk-On market regime and the portfolio is allocated to a U.S. equity ETF. The ETF selected in the portfolio for this month is MDY (100%). The portfolio trend for December is positive with a Trend Score in progression of 4 out of 10. The degree of risk of the strategy for December is medium with a Risk Score in progression of 5 out of 10.
The 1-year performance of this strategy is -15.47%. Since opening the portfolio at eToro in November 2019, the strategy has performed 66.87%, in comparison, the benchmark asset (S&P 500) has advanced 40.99%. The strategy has suffered a maximum loss of 16.73% since the portfolio opened at eToro, compared to the benchmark asset (S&P 500) which lost 23.91% at maximum.
This strategy captures the U.S. stock market growth for long-term investors who want high returns.
Since inception at eToro
Max drawdown
Since inception at eToro
Portfolio: -16.73%
S&P 500: -23.91%
- eToro portfolio
US Balanced Portfolio
T
he portfolio US Balanced stayed constant in November. The strategy combines an allocation in US bonds (30%) with the US Growth portfolio (70%). The trend in the US bond market for December is negative. The ETF selected in the bond part for this month is IEF. The portfolio contains the following 2 ETFs: MDY (70%) and IEF (30%). The portfolio trend for December is bullish with a Trend Score in expansion of 4 out of 10. The degree of risk of the strategy for December is medium with a Risk Score in rise of 6 out of 10.
The 1-year trailing return of this strategy is -9.89%.
This strategy provides a balanced stocks and bonds allocation for investors who want a U.S. market exposure with limited risks.
Global Conservative Portfolio
T
he portfolio Global Conservative remained steady in November. The Strategy combines a multi-market protective asset allocation strategy (Global Stable portfolio 70%) and a US stock market strategy (US Growth portfolio 30%). The Exchange Traded Fund selected in the portfolio for this month is MDY (30%). The portfolio trend for December is weakly bullish with a Trend Score in expansion of 1 out of 10. The degree of risk of the strategy for this month is low with a Risk Score in rise of 2 out of 10.
The 1-year change of this strategy is -7.91%.
This strategy provides a broad geographic diversification for investors who want an international exposure.
Global Stable Portfolio
T
he portfolio Global Stable remained stable last month. The overall market trend for December is negative. By analyzing a diverse multi-market composed of 12 ETFs (stocks, bonds, gold, real estate, international and emerging markets...), we observe that 0 assets only show a positive evolution. Our model allocates 0% to Risk-On assets and 100% to Risk-Off assets. Asset allocation does not change in December. The portfolio's allocation is 100% cash. The degree of risk of the strategy for December is low with a Risk Score steady of 0 out of 10.
The 1-year performance of this strategy is -5.66%.
This is the safest strategy, the one with the lowest volatility and the least max drawdown of the 4 offered, that makes this strategy an alternative to a 1-Year Term Deposit.
ETF Trends
EFA iShares MSCI EAFE ETF
- Europe, Australia and Far East Equities
The EFA ETF, which mimics markets in Europe, Australia and the Far East, continues its strong increase of 13.17% in November. The 1 year trailing return of this ETF is -11.84%. The trend in December is bullish with a Trend Score in growth of 6 out of 10. The degree of risk of this ETF in December is high with a Risk Score in growth of 8 out of 10.
VGK Vanguard FTSE Europe ETF
- Europe Equities
The VGK ETF, which measures European Equities, holds out its strong increase of 13.49% in November. The 1 year trailing return of this equity is -13.85%. The trend in December is positive with a Trend Score in progression of 6 out of 10. The level of risk of this equity in December is high with a Risk Score in progression of 8 out of 10.
EWJ iShares MSCI JAPAN ETF
- Japan Equities
The EWJ ETF, which mimics the Japanese market, continues its strong increase of 11.62% in November. The performance over a period of 1 year of this equity is -16.67%. The trend in December is bullish with a Trend Score in growth of 5 out of 10. The degree of risk of this equity in December is high with a Risk Score in growth of 7 out of 10.
TLT iShares 20+ Year Treasury Bond ETF
- Long-Term US Treasuries
The TLT ETF, which mimics long-Term US Treasuries, rises sharply by 6.89% in November. The 1 year trailing return of this equity is -32.45%. A trend reversal has been detected in December with a Trend Score of 4 out of 10. The degree of risk of this equity in December is high with a Risk Score steady of 7 out of 10.
VNQ Vanguard Real Estate ETF
- US Real Estate
The VNQ Exchange-Traded Fund from Vanguard, which replicates REITs and other real estate-related investments, continues its strong rise of 6.15% in November. The performance over a period of 1 year of this ETF is -16.98%. A trend reversal has been detected in December with a Trend Score of 4 out of 10. The degree of risk of this ETF in December is high with a Risk Score stable of 7 out of 10.
IEF iShares 7-10 Year Treasury Bond ETF
- Intermediate-term US Treasuries
The IEF Exchange-Traded Fund, which monitors the ICE U.S. Treasury 7-10 Year Bond Index, rebounds sharply by 3.39% last month. The performance over a period of 1 year of this ETF is -15.65%. A trend reversal has been identified in this month with a Trend Score of 4 out of 10. The level of risk of this ETF in this month is high with a Risk Score in expansion of 7 out of 10. This ETF is invested in the portfolio US Balanced in December.
QQQ Invesco QQQ
- Nasdaq 100
The QQQ ETF, which replicates the Nasdaq-100 Index, continues its strong rise of 5.54% in November. The evolution of the performance of this ETF over 1 year is -25.45%. A trend reversal has been identified in December with a Trend Score of 4 out of 10. The degree of risk of this ETF in December is high with a Risk Score steady of 7 out of 10.
EEM iShares MSCI Emerging Markets ETF
- Emerging Market Equities
The EEM ETF from iShares, which measures the MSCI Emerging Markets Index, rebounds promptly by 15.59% in November. The evolution of the performance of this Exchange-Traded Fund over 1 year is -18.75%. A trend reversal has been identified in December with a Trend Score of 4 out of 10. The level of risk of this Exchange-Traded Fund in December is high with a Risk Score in expansion of 7 out of 10.
GLD SPDR Gold
- Gold
The GLD ETF, which mimics the gold market, rebounds sharply by 8.49% in November. The performance over a period of 1 year of this ETF is -0.61%. A trend reversal has been identified in December with a Trend Score of 4 out of 10. The degree of risk of this ETF in December is high with a Risk Score in rise of 7 out of 10.
SPY SPDR S&P 500 ETF
- S&P 500
The SPY Exchange-Traded Fund from SPDR, which monitors large-cap U.S. stocks, continues its strong rise of 5.56% in November. The evolution of the performance of this ETF over 1 year is -10.55%. The trend in December is positive with a Trend Score constant of 4 out of 10. The level of risk of this ETF in December is medium with a Risk Score in decline of 6 out of 10.
IWM iShares Russell 2000 ETF
- US Small Cap Equities
The IWM ETF, which monitors 2000 small-cap US stocks, continued to grow by 2.20% in November. The evolution of the performance of this ETF over 1 year is -14.22%. The trend in December is positive with a Trend Score unchanged of 4 out of 10. The level of risk of this ETF in December is medium with a Risk Score in regression of 4 out of 10.
MDY SPDR S&P Midcap 400
- Midcap 400
The MDY ETF, which follows mid-cap U.S. Equities, continues its strong increase of 6.02% in November. The performance over a period of 1 year of this equity is -4.67%. The trend in December is positive with a Trend Score constant of 4 out of 10. The level of risk of this equity in December is medium with a Risk Score in decline of 5 out of 10. This equity is invested in the strategies US Growth, Global Conservative and US Balanced in December.
BND Vanguard Total Bond Market ETF
- US Total Bond Market
The BND ETF from Vanguard, which measures the United States' fixed income markets, rebounds promptly by 3.43% in November. The evolution of the performance of this Exchange-Traded Fund over 1 year is -15.29%. The trend in December is bearish. The level of risk of this Exchange-Traded Fund in December is high with a Risk Score in rise of 7 out of 10.
LQD iShares iBoxx $ Investment Grade Corporate Bond
- US Corporate Bonds
The LQD ETF, which mimics a broad range of U.S. investment grade corporate bonds, rebounds sharply by 6.32% in November. The performance over a period of 1 year of this ETF is -19.55%. The trend in December is negative. The degree of risk of this ETF in December is high with a Risk Score in rise of 7 out of 10.
JNK SPDR Bloomberg High Yield Bond
- High Yield Bonds
The JNK ETF, which tracks US "junk" bonds, continues its strong increase of 3.09% in November. The 1 year trailing return of this ETF is -13.21%. The trend in December is negative. The level of risk of this ETF in December is medium with a Risk Score stable of 4 out of 10.
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This communication is for information and education purposes only and should not be taken as investment advice, a personal recommendation,
or an offer of, or solicitation to buy or sell, any financial instruments.
Natevia makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication,
which has been prepared utilizing publicly-available information.
Past Performance is not indicative of future results.