Rising Interest Rates ranked among the worst performers on Tuesday. It delivered -1.36% to close at 1309.7. On a day when the overall market breadth was 34%, it closed higher than 75% of the market. In comparison, the benchmark SP500 index closed today at +0.01%.
Buy-and-Hold investors in ~RISINGINTRATES experienced a maximum drawdown of -27.34% over the last three months. It delivered -26.26% during this strong bearish 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 +27.09%.
~RISINGINTRATES has been underperforming the SP500 index in recent time. It showed significant outperformance (compared to the SP500 index) from 7 Apr, 2016 to 22 May, 2018. Over the last 2 years 11 months and 14 days, ~RISINGINTRATES outperformed the SP500 index on 51% days.
~RISINGINTRATES returned losses on 62% days in the last three months. During this time, it delivered on average -0.47% per day. It delivered it's worst daily return of -6.38%, during this period, on Tuesday, 4 Dec, 2018. The longest stort-term trend during this period was 9 profitable days, which started on 29 Oct, 2018 and went on till 8 Nov, 2018. This bullish trend returned +8.85% to investors.
The last 12 months saw ~RISINGINTRATES's investors making profits in 6 months and incurring losses in 6 months. ~RISINGINTRATES was less consistent in delivering monthly returs than SP500 index. ~RISINGINTRATES was also a more risky investment than SP500 index as it's worst month in the last year, Dec 2018, returned -16.22% compared to -7.75% returned by SP500 index in Dec 2018. ~RISINGINTRATES had a shorter streak of profitable months than SP500 index. It only went up in 2 straight months during the last year. It is interesting to note that both ~RISINGINTRATES and SP500 index significantly outperform during months when quarterly/annual results are announced.
"If investing is entertaining, if you're having fun, you're probably not making any money. Good investing is boring.
~RISINGINTRATES is currently seeing overall increase in volatility. In comparison, the SP500 index is seeing increase in volatility. During the last three months, there was a significant surge in ~RISINGINTRATES's volatility from 2 Oct, 2018 to 25 Oct, 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 ~RISINGINTRATES has significant positive skewness in it's return distribution. This indicates that investors can expect ~RISINGINTRATES to recover from drawdowns quickly. Which makes ~RISINGINTRATES a good candidate for investing on short-term bullish trends or even counter-trends hoping for a pull-back.
~RISINGINTRATES has more chance of extreme outcomes than the SP500 index. Therefore, ~RISINGINTRATES must receive a lower allocation than SP500 in your portfolio. SP500 index usually has shorter drawdown period than ~RISINGINTRATES.
Based on your interest in ~RISINGINTRATES you may find it interesting to know that HBNC, SASR and NTB have all performed similar to ~RISINGINTRATES and qualify as alternative investment candidates that must be evaluated for diversification.
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