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 February 2024. 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 continued to gain ground by 1.82% in January. 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 February is strongly positive with a Trend Score stable of 9 out of 10. The degree of risk of the strategy for February is medium with a Risk Score stable of 4 out of 10.
The 1-year change of this portfolio is 29.13%. Since opening the portfolio at eToro in November 2019, the strategy has performed 110.33%, in comparison, the benchmark asset (S&P 500) has advanced 70.32%. The strategy has suffered a maximum loss of 19.95% since the portfolio opened at eToro, compared to the benchmark asset (S&P 500) which lost 23.92% 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: -19.95%
S&P 500: -23.92%
- eToro portfolio
US Balanced Portfolio
T
he portfolio US Balanced continued to gain ground by 1.23% in January. The strategy combines an allocation in US bonds (30%) with the US Growth portfolio (70%). The trend in the US bond market for February is positive. The bond part contains the following 2 ETFs: JNK and LQD. Asset allocation does not change in February. The portfolio contains the following 3 ETFs: QQQ (70%), JNK (15%) and LQD (15%). The portfolio trend for February is measurably bullish with a Trend Score unchanged of 8 out of 10. The level of risk of the strategy for February is low with a Risk Score in decline of 3 out of 10.
The 1-year performance of this portfolio is 15.15%.
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 0.35% in January. 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 (37%), VNQ (7%), JNK (7%), EWJ (7%), SPY (7%) and IWM (7%). The portfolio trend for February is bullish with a Trend Score in regression of 6 out of 10. The level of risk of the strategy for February is low with a Risk Score in regression of 2 out of 10.
The 1-year performance of this strategy is 7.93%.
This strategy provides a broad geographic diversification for investors who want an international exposure.
Global Stable Portfolio
T
he portfolio Global Stable receded 0.28% in January. The overall market trend for February is positive. By analyzing a diverse multi-market composed of 12 ETFs (stocks, bonds, gold, real estate, international and emerging markets...), we observe that 10 assets show a positive evolution. Our model allocates 66% to Risk-On assets and 33% to Risk-Off assets. The portfolio contains the following 6 ETFs: JNK (11%), VNQ (11%), IWM (11%), EWJ (11%), SPY (11%) and QQQ (11%). The portfolio trend for February is positive with a Trend Score in regression of 5 out of 10. The level of risk of the strategy for February is low with a Risk Score in regression of 2 out of 10.
The 1-year performance of this strategy is 1.79%.
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 large-cap US technology companies, continued to gain ground by 1.82% last month. The evolution of the performance of this ETF over 1 year is 41.50%. The trend in this month is strongly positive with a Trend Score stable of 9 out of 10. The degree of risk of this ETF in this month is medium with a Risk Score stable of 4 out of 10. This ETF is present in the strategies US Growth, Global Stable, Global Conservative and US Balanced in February.
SPY SPDR S&P 500 ETF
- S&P 500
The SPY ETF, which tracks a basket of large-cap U.S. stocks, continued to gain ground by 1.59% in January. The 1 year trailing return of this equity is 18.72%. The trend in February is strongly positive with a Trend Score steady of 8 out of 10. The degree of risk of this equity in February is medium with a Risk Score steady of 4 out of 10. This equity is present in the strategies Global Stable and Global Conservative in February.
BND Vanguard Total Bond Market ETF
- US Total Bond Market
The BND ETF, which mimics investment grade, US dollar-denominated bond market debt securities, dropped 0.16% last month. The performance over a period of 1 year of this ETF is -1.35%. The trend in this month is measurably bullish with a Trend Score steady of 7 out of 10. The degree of risk of this ETF in February is low with a Risk Score in decline of 1 out of 10.
EWJ iShares MSCI JAPAN ETF
- Japan Equities
The EWJ ETF, which follows the performance of large cap Japanese stocks, continues its strong increase of 3.23% in January. The performance over a period of 1 year of this equity is 13.79%. The trend in February is measurably bullish with a Trend Score in expansion of 7 out of 10. The level of risk of this equity in February is low with a Risk Score in expansion of 3 out of 10. This equity is invested in the strategies Global Stable and Global Conservative in February.
LQD iShares iBoxx $ Investment Grade Corporate Bond
- US Corporate Bonds
The LQD ETF, which follows a basket of U.S. corporate bonds, decreased 0.44% in January. The performance over a period of 1 year of this equity is 0%. The trend in February is strongly positive with a Trend Score unchanged of 7 out of 10. The level of risk of this equity in February is low with a Risk Score in regression of 1 out of 10. This equity is invested in the strategy US Balanced in February.
MDY SPDR S&P Midcap 400
- Midcap 400
The MDY ETF from SPDR, which measures mid-cap U.S. stocks, dropped 1.74% in January. The 1 year trailing return of this equity is 3.11%. The trend in February is measurably bullish with a Trend Score unchanged of 7 out of 10. The level of risk of this equity in February is low with a Risk Score in decline of 3 out of 10.
VNQ Vanguard Real Estate ETF
- US Real Estate
The VNQ ETF, which mimics stocks issued by real estate investment trusts (REITs), falls back promptly by 5.06% in January. The 1 year trailing return of this equity is -8.79%. The trend in February is strongly positive with a Trend Score in regression of 7 out of 10. The degree of risk of this equity in February is low with a Risk Score in regression of 3 out of 10. This equity is present in the portfolios Global Stable and Global Conservative in February.
IWM iShares Russell 2000 ETF
- US Small Cap Equities
The IWM ETF, which tracks the Russell 2000 Index, collapses distinctly by 3.90% in January. The 1 year trailing return of this ETF is 0.52%. The trend in February is measurably bullish with a Trend Score in decline of 7 out of 10. The degree of risk of this ETF in February is low with a Risk Score in decline of 3 out of 10. This ETF is present in the strategies Global Stable and Global Conservative in February.
IEF iShares 7-10 Year Treasury Bond ETF
- Intermediate-term US Treasuries
The IEF ETF, which monitors an index composed of U.S. Treasury bonds with remaining maturities between 7 and 10 years, continued to grow by 0.07% in January. The evolution of the performance of this equity over 1 year is -3.03%. The trend in February is positive with a Trend Score unchanged of 6 out of 10. The level of risk of this equity in February 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 from SPDR, which monitors the Bloomberg Barclays US High Yield index, continued to grow by 0.15% in January. The evolution of the performance of this Exchange-Traded Fund over 1 year is 1.08%. The trend in February is positive with a Trend Score in decline of 6 out of 10. The level of risk of this Exchange-Traded Fund in February is low with a Risk Score in decline of 1 out of 10. This Exchange-Traded Fund is invested in the portfolios Global Stable, Global Conservative and US Balanced in February.
EFA iShares MSCI EAFE ETF
- Europe, Australia and Far East Equities
The EFA ETF, which replicates an index composed of companies from Europe, Australia and the Far East, receded 0.45% in January. The evolution of the performance of this ETF over 1 year is 5.63%. The trend in February is bullish with a Trend Score steady of 6 out of 10. The degree of risk of this ETF in February is low with a Risk Score in regression of 3 out of 10.
VGK Vanguard FTSE Europe ETF
- Europe Equities
The VGK ETF, which measures European Equities, fell 1.23% last month. The 1 year trailing return of this ETF is 5%. The trend in this month is positive with a Trend Score constant of 6 out of 10. The level of risk of this ETF in this month is low with a Risk Score in decline of 3 out of 10.
TLT iShares 20+ Year Treasury Bond ETF
- Long-Term US Treasuries
The TLT ETF, which monitors long-term U.S. Treasury bonds, dropped 2.25% in January. The evolution of the performance of this ETF over 1 year is -10.28%. The trend in February is positive with a Trend Score constant of 6 out of 10. The level of risk of this ETF in February is low with a Risk Score in decline of 3 out of 10.
GLD SPDR Gold
- Gold
The GLD ETF from SPDR, which replicates the performance of gold, retreated 1.42% in January. The evolution of the performance of this equity over 1 year is 5.03%. The trend in February is weakly positive with a Trend Score in regression of 3 out of 10. The degree of risk of this equity in February is low with a Risk Score in regression of 2 out of 10.
EEM iShares MSCI Emerging Markets ETF
- Emerging Market Equities
The EEM ETF, which monitors a broad range of emerging market companies, decreases sharply by 4.53% in January. The evolution of the performance of this equity over 1 year is -7.32%. The trend in February is bearish. The level of risk of this equity in February is low with a Risk Score unchanged of 3 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.