High-Yield Dividends has destroyed investor wealth today. It returned -0.1% to close at 1097.59. During the last week it returned -5.91% and saw a maximum drawdown of -5.91%.
Buy-and-Hold investors in ~HIGHDIVIDENDS experienced a maximum drawdown of -16.34% over the last three months. It returned -15.74% during this strong down trending period. There were both Long and Short signals during this period, where the short signals were significantly more profitable than the long signals. The net profit from Short signals was +14.15%.
~HIGHDIVIDENDS has been underperforming the SP500 index in recent time, after having outperformed till 27 Apr, 2016. Over the last 2 years 11 months and 14 days, ~HIGHDIVIDENDS underperformed the SP500 index on 49% days. Which indicates that on days ~HIGHDIVIDENDS underperforms the SP500 index, it's performance is marginally worse than on the days it outperforms the SP500 index.
During the last three months ~HIGHDIVIDENDS was mostly loss making and delivered on average -0.26% per day. It's best return during this period (of +2.42%) was on Tuesday, 30 Oct, 2018. While it's worst loss in the same period (of -3.34%) was on Wednesday, 24 Oct, 2018. There was initially a bearish trend during this period which started on 26 Sep, 2018 and went on till 2 Oct, 2018. The trend delivered -1.87% losses to investors. This was followed by a bullish trend that started on 1 Nov, 2018 and ended on 7 Nov, 2018. This bullish trend delivered +4.86% to investors.
On monthly basis, ~HIGHDIVIDENDS delivered profits and losses in equal number of months. ~HIGHDIVIDENDS delivered profits less regularly than SP500 index. ~HIGHDIVIDENDS was also a more risky investment than SP500 index as it's worst month in the last year, Dec 2018, returned -10.02% compared to -7.75% returned by SP500 index in Dec 2018. ~HIGHDIVIDENDS had a shorter streak of profitable months than SP500 index. It only went up in 3 straight months during the last year. It is interesting to note that both ~HIGHDIVIDENDS and SP500 index significantly outperform during months when quarterly/annual results are announced.
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~HIGHDIVIDENDS is becoming less volatile overall. In comparison, the SP500 index is seeing a rise in volatility. During the last three months, there was a significant surge in ~HIGHDIVIDENDS's volatility from 1 Oct, 2018 to 13 Dec, 2018. While there was a significant surge in the SP500 index's volatility from 19 Sep, 2018 to 29 Oct, 2018.
Advanced/professional short-term investors should note that ~HIGHDIVIDENDS has significant positive skewness in it's return distribution. This indicates that investors can expect ~HIGHDIVIDENDS to recover from drawdowns quickly. Which makes ~HIGHDIVIDENDS a good candidate for investing on short-term bullish trends or even counter-trends hoping for a pull-back.
~HIGHDIVIDENDS has more chance of extreme outcomes than the SP500 index. Therefore, ~HIGHDIVIDENDS must receive a lower allocation than SP500 in your portfolio. SP500 index usually has shorter drawdown period than ~HIGHDIVIDENDS.
On a general note (since you are interested in ~HIGHDIVIDENDS), three instruments that have performed similar to ~HIGHDIVIDENDS are LPT, KREF and TM. They must all be evaluated as alternative investment options and for diversification.
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