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 July 2023. 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 continues its strong rise of 6.30% in June. 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 asset allocation remains the same this month. The ETF selected in the portfolio for this month is QQQ (100%). The portfolio trend for July is measurably bullish with a Trend Score unchanged of 9 out of 10. The degree of risk of the strategy for July is low with a Risk Score in decline of 3 out of 10.
The 1-year performance of this strategy is 20.15%. Since opening the portfolio at eToro in November 2019, the strategy has performed 101.72%, in comparison, the benchmark asset (S&P 500) has advanced 55.13%. The strategy has suffered a maximum loss of 19.96% since the portfolio opened at eToro, compared to the benchmark asset (S&P 500) which lost 23.90% 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: -19.96%
S&P 500: -23.90%
- eToro portfolio
US Balanced Portfolio
T
he portfolio US Balanced continues its strong increase of 4.50% last month. The strategy combines an allocation in US bonds (30%) with the US Growth portfolio (70%). The trend in the US bond market for this month is lightly bullish. The ETF selected in the bond part for this month is JNK. The asset allocation is as follows: QQQ (70%) and JNK (30%). The portfolio trend for this month is strongly positive with a Trend Score in regression of 7 out of 10. The degree of risk of the strategy for this month is low with a Risk Score in regression of 2 out of 10.
The 1-year change of this strategy is 13.12%.
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 continued to grow by 2.18% last month. 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 portfolio contains the following 6 ETFs: QQQ (41%), GLD (11%), SPY (11%), EFA (11%), VGK (11%) and EWJ (11%). The portfolio trend for this month is bullish with a Trend Score in progression of 5 out of 10. The level of risk of the strategy for this month is low with a Risk Score in growth of 3 out of 10.
The 1-year performance of this strategy is 6.45%.
This strategy provides a broad geographic diversification for investors who want an international exposure.
Global Stable Portfolio
T
he portfolio Global Stable bounced back 1.16% in June. The overall market trend for July is strongly positive. By analyzing a diverse multi-market composed of 12 Exchange Traded Funds (stocks, bonds, gold, real estate, international and emerging markets...), we observe that 12 securities show a positive evolution. Our model allocates 100% to Risk-On assets and 0% to Risk-Off assets. The asset allocation is as follows: SPY (16%), GLD (16%), EWJ (16%), EFA (16%), QQQ (16%) and VGK (16%). The portfolio trend for July is positive with a Trend Score in expansion of 4 out of 10. The degree of risk of the strategy for this month is low with a Risk Score in rise of 3 out of 10.
The 1-year change of this strategy is 1.56%.
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
QQQ Invesco QQQ
- Nasdaq 100
The QQQ ETF, which replicates the Nasdaq-100 Index, continues its strong rise of 6.16% in June. The evolution of the performance of this ETF over 1 year is 31.79%. The trend in July is measurably bullish with a Trend Score stable of 9 out of 10. The degree of risk of this ETF in July is low with a Risk Score in decline of 3 out of 10. This ETF is present in the strategies US Growth, Global Stable, Global Conservative and US Balanced in July.
SPY SPDR S&P 500 ETF
- S&P 500
The SPY ETF, which tracks a basket of large-cap U.S. stocks, continues its strong increase of 6.09% in June. The 1 year trailing return of this equity is 17.51%. The trend in July is bullish with a Trend Score in expansion of 6 out of 10. The degree of risk of this equity in July is low with a Risk Score steady of 3 out of 10. This equity is present in the strategies Global Stable and Global Conservative in July.
MDY SPDR S&P Midcap 400
- Midcap 400
The MDY ETF, which mimics mid-cap U.S. Equities, rebounds sharply by 8.81% in June. The performance over a period of 1 year of this ETF is 15.74%. The trend in July is bullish with a Trend Score in rise of 4 out of 10. The degree of risk of this ETF in July is low with a Risk Score stable of 3 out of 10.
IWM iShares Russell 2000 ETF
- US Small Cap Equities
The IWM ETF, which follows small public U.S. companies, rebounds sharply by 7.77% in June. The performance over a period of 1 year of this ETF is 10.65%. The trend in July is positive with a Trend Score in progression of 4 out of 10. The level of risk of this ETF in July is low with a Risk Score unchanged of 3 out of 10.
EWJ iShares MSCI JAPAN ETF
- Japan Equities
The EWJ ETF, which measures the Japanese stock market, holds out its strong increase of 4.31% in June. The 1 year trailing return of this equity is 17.31%. The trend in July is positive with a Trend Score in progression of 4 out of 10. The level of risk of this equity in July is low with a Risk Score unchanged of 3 out of 10. This equity is invested in the portfolios Global Stable and Global Conservative in July.
VNQ Vanguard Real Estate ETF
- US Real Estate
The VNQ Exchange-Traded Fund from Vanguard, which measures stocks issued by real estate investment trusts (REITs), rises sharply by 4.45% in June. The 1 year trailing return of this Exchange-Traded Fund is -8.79%. The trend in July is lightly positive with a Trend Score in growth of 3 out of 10. The level of risk of this Exchange-Traded Fund in July is low with a Risk Score in decline of 3 out of 10.
GLD SPDR Gold
- Gold
The GLD ETF, which measures the performance of gold in the commodities market, receded 2.22% in June. The 1 year trailing return of this equity is 5.95%. The trend in July is lightly positive with a Trend Score in decline of 2 out of 10. The level of risk of this equity in July is low with a Risk Score in decline of 2 out of 10. This equity is invested in the portfolios Global Stable and Global Conservative in July.
VGK Vanguard FTSE Europe ETF
- Europe Equities
The VGK ETF, which monitors the FTSE Europe All Cap Index, bounced back 2.46% in June. The performance over a period of 1 year of this equity is 17.31%. The trend in July is weakly bullish with a Trend Score in expansion of 2 out of 10. The level of risk of this equity in July is low with a Risk Score unchanged of 3 out of 10. This equity is invested in the strategies Global Stable and Global Conservative in July.
EFA iShares MSCI EAFE ETF
- Europe, Australia and Far East Equities
The EFA ETF, which measures an index composed of companies from Europe, Australia and the Far East, bounced back 2.59% in June. The evolution of the performance of this equity over 1 year is 16.13%. The trend in July is weakly bullish with a Trend Score in expansion of 2 out of 10. The level of risk of this equity in July is low with a Risk Score unchanged of 3 out of 10. This equity is invested in the strategies Global Stable and Global Conservative in July.
TLT iShares 20+ Year Treasury Bond ETF
- Long-Term US Treasuries
The TLT ETF, which mimics the U.S. long-term treasury market, fell 0.05% last month. The performance over a period of 1 year of this ETF is -10.53%. The trend in July is lightly positive with a Trend Score in growth of 1 out of 10. The degree of risk of this ETF in July is low with a Risk Score in regression of 2 out of 10.
IEF iShares 7-10 Year Treasury Bond ETF
- Intermediate-term US Treasuries
The IEF ETF, which follows the ICE U.S. Treasury 7-10 Year Bond Index, receded 1.49% in June. The performance over a period of 1 year of this ETF is -5.88%. The trend in July is lightly bullish with a Trend Score in decline of 1 out of 10. The level of risk of this ETF in July is low with a Risk Score in decline of 1 out of 10.
BND Vanguard Total Bond Market ETF
- US Total Bond Market
The BND ETF from Vanguard, which tracks intermediate-term bonds being traded in the United States, retreated 0.48% in June. The evolution of the performance of this equity over 1 year is -4%. The trend in July is lightly bullish with a Trend Score in regression of 1 out of 10. The degree of risk of this equity in July is low with a Risk Score in regression of 1 out of 10.
LQD iShares iBoxx $ Investment Grade Corporate Bond
- US Corporate Bonds
The LQD ETF, which monitors U.S. investment grade corporate bonds, bounced back 0.48% in June. The performance over a period of 1 year of this ETF is -1.82%. The trend in July is weakly bullish with a Trend Score in decline of 1 out of 10. The level of risk of this ETF in July is low with a Risk Score in decline of 1 out of 10.
JNK SPDR Bloomberg High Yield Bond
- High Yield Bonds
The JNK ETF, which monitors US high-yield corporate bonds, bounced back 1.31% in June. The performance over a period of 1 year of this equity is 2.22%. The trend in July is weakly bullish with a Trend Score in decline of 1 out of 10. The level of risk of this equity in July is low with a Risk Score unchanged of 1 out of 10. This equity is present in the portfolio US Balanced in July.
EEM iShares MSCI Emerging Markets ETF
- Emerging Market Equities
The EEM ETF, which mimics an index composed of companies from emerging markets, rises sharply by 3.59% last month. The 1 year trailing return of this ETF is -2.50%. The trend in this month is lightly bullish with a Trend Score in progression of 1 out of 10. The degree of risk of this ETF in July is low with a Risk Score stable of 3 out of 10.
Compliance disclaimer
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.