Long Term Investing Model Favours Bonds Over Equities
Jack Chan | Jul 26, 2015 03:20AM ET
Our equity/bond model - This long term reliable investing model provides investors with simple decision making in the markets:
When the model favors stocks, investors should overweigh in equities for maximum growth.
When the model favors bonds, investors should overweigh in bonds for safety.
Our benchmark S&P 500 is on a major buy signal since early 2012.
Oil sector is on a major sell signal since September. Investors should be out of this sector.
Summary
Current investing model favors bonds over equities, therefore, investors should overweigh their portfolios with bonds over stocks for safety.
Cash is also a position for those who are un-invested or under invested until this model favors equities again.
Disclosure
We do not offer predictions or forecasts for the markets. What you see here is our simple investing model which provides us with simple investing decision making. Entry points and stops are provided in real time to subscribers, therefore, this update may not reflect our current positions in the markets.
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.