How many funds do you hold?

redbuzzard

The idea sounds loopy to me.

Will you be disciplined enough to follow the system? Does it ell you what to do if the first move is down? Does it tell you when to sell? Will you do that while it us apparently still rising?

Do let us know how it goes:-)

Any

redbuzzard wrote: »

The idea sounds loopy to me.

Will you be disciplined enough to follow the system? Does it ell you what to do if the first move is down? Does it tell you when to sell? Will you do that while it us apparently still rising?

Do let us know how it goes:-)

Well, once you have system in place it shouldn't be difficult. Just question of putting yourself reminders to check the new front runner and move. The most difficult part is getting the new front runner as most info is given on 12 month interval basis!
It won't tell you when to sell, you will just do that on regular intervals no matter what. You are just catching the tide if you like.
The only problem I can foresee with myself is - will I sell when it is still doing good? And I won't be watching it for the period I am supposed to hold I don't think, I think front runners like this will be a bit volatile so you might bring yourself a heart attack:rotfl:
That is why I am doing it with £200.
I will let you know!
Still trying to find the article, which is a bit difficult when I don't know the exact name of the strategy!

marathonic

Any wrote: »

Well, once you have system in place it shouldn't be difficult. Just question of putting yourself reminders to check the new front runner and move. The most difficult part is getting the new front runner as most info is given on 12 month interval basis!!

If I remember correctly, these types of strategies can work fine until a lot of others start using them - as happened with the "Dogs of the Dow" strategy.

Think of it on a large scale - a number of funds increase dramatically as their sectors come into favour, possibly becoming overpriced. People, using this strategy, then switch into these funds pushing them further into overpriced territory whilst selling their underpriced funds pushing them further into undervalued territory.

By all mean, feel free to attempt the strategy - and my strategy will be at the opposite end buying from, and selling to, those of you using this strategy.

Linton

Any wrote: »

Well, that is the whole point. Apparently usually it is the past 6 months performance that is being looked at.
Looking at the last year is a bit out of date...I kind of get it. The idea is that you jump every 3 or 6 months... If most of the growth was done the first 3 months of the last 12 months period you are not catching the momentum.

Sorry I was wrong which is why I editted my post. You can display and sort by 1, 3, and 6 month returns on trustnet if you add that data to the list using "Create Custom Tab".

Any

marathonic wrote: »

If I remember correctly, these types of strategies can work fine until a lot of others start using them - as happened with the "Dogs of the Dow" strategy.

Think of it on a large scale - a number of funds increase dramatically as their sectors come into favour, possibly becoming overpriced. People, using this strategy, then switch into these funds pushing them further into overpriced territory whilst selling their underpriced funds pushing them further into undervalued territory.

By all mean, feel free to attempt the strategy - and my strategy will be at the opposite end buying from, and selling to, those of you using this strategy.

That is exactly right. But not too many people will start doing that - just like they don't with shares on exactly the same principle. They did and then they stopped, and believe me a lot of them do again. Not everyone believes it, trusts it, or even can be bothered watching it. Also there is risk involved.

By all means sell it to me as an opposite end of this strategy - just like the market does on every day basis with or without you and me being involved in it!

gadgetmind

Any wrote: »

Still trying to find the article, which is a bit difficult when I don't know the exact name of the strategy!

It's called "buy high, sell low".

Forever

Any wrote: »

Thank you, I will try that.
I am very interested in this new strategy and want to try whether it works at all. I just put in couple of hundred for this exercise so cannot really loose much and play with it and see.

I have UK - medium risk and high risk (smaller companies), European, Emerging markets (just 1) and US (medium and smaller companies).
Also got BlackRock global property tracker, but still cannot make my mind up whether to keep it or not... not doing much currently, but that doesn't mean much obviously, it's about long term... but I cannot make my mind up whether I believe in the sector or not.. One day I do, one day I start questioning myself!!

I know exactly what you mean regarding finding your next hot 'sector'. It is hard without a crystal ball or even better, hindsight.

Anyway I think your strategy is interesting and I would be really interested to see how it works out.

I think the biggest drawback with your potential strategy is that it will require constant monitoring so that if anything changes, you are ready to react.

And as you are choosing to react in time with the market, you could find yourself loosing - and gaining - due to greed and fear too.

Hmmm.... interesting. If you do it, I hope you let us know how you get on.

Any

gadgetmind wrote: »

It's called "buy high, sell low".

:rotfl::rotfl:
Well, apparently it is all about the formulae.. the period of time to ride the tide and the level at which you catch the ride, if you get my meaning.
It might end up like that, we'll see!!

Any

Forever wrote: »

I know exactly what you mean regarding finding your next hot 'sector'. It is hard without a crystal ball or even better, hindsight.

Anyway I think your strategy is interesting and I would be really interested to see how it works out.

I think the biggest drawback with your potential strategy is that it will require constant monitoring so that if anything changes, you are ready to react.

And as you are choosing to react in time with the market, you could find yourself loosing - and gaining - due to greed and fear too.

Hmmm.... interesting. If you do it, I hope you let us know how you get on.

Basically, I like playing with money (no funny thing meant by that) :rotfl: so the looking for leader and the switching will keep me entertained. One of the reasons why this appeals to me.
But as I am not rich I will just play with little bit of money and see what it does. It might be rubbish. It might work.

Forever

Any wrote: »

Basically, I like playing with money (no funny thing meant by that) :rotfl: so the looking for leader and the switching will keep me entertained. One of the reasons why this appeals to me.
But as I am not rich I will just play with little bit of money and see what it does. It might be rubbish. It might work.

If you can afford to loose this amount of money, then why not try this strategy and see if it works for you.

But if you can't afford it, maybe a safer strategy is required IMHO.

Whatever you do, I wish you luck Any