AlphaDow

ETF Advisor

Designed to capture the intermediate term trend of the market, ETF Advisor offers several portfolios:

Canadian Equity ETFs,  US Sector ETFs, and International Equity ETFs.

We use a robust timing system to time our entry and exit into each ETF in the portfolios.

There are 5 components to the system:

1.  Simplicity. Simplicity breeds elegance.  Why is it simple?  Because when something is easy to follow and it makes sense, people have a higher degree of confidence in it and will more likely continue to follow the plan.

2.  Compounding. The key to riches.  Einstein called compounding the 8th Wonder of the world.  By having a simple plan that you are comfortable compounding 100% of your investable assets with, you greatly increase the chances that you will compound your way to a better lifestyle in retirement.

3. Growth. The trend of the market will always tell us whether we should be invested in stocks or in the safety of money market (cash).  Charles Dow’s venerable Dow Theory is a key component to letting us know what the primary and secondary trend of the market is at all times.

4.  Monitoring. We constantly monitor over 100 ETFs to determine where the strongest trends are.  When one of the ETFs in our portfolios begins to lag and falls below its moving average (trend), we eliminate the position and rotate into the strongest ETF that is not currently in the portfolio.  For golf enthusiasts, this is like betting on the golfers at the top of the current leaderboard after each round of golf.   We always want exposure to the top five ETFs in the asset class.  That way, we are more likely to pick the winning ETF week after week.

5.  Sell. Before purchasing any investment, you should ask yourself:  “When am I going to SELL”.  The philosopher Pascal said it another way “What is the penalty if I am wrong?”  By knowing your sell point in advance and therefore knowing your total portfolio exposure to market corrections and bear markets, you can sleep at night knowing you have a proven discipline in place for your investments.

Remember to always use actual stops.  Email info@alphadow.com or fill out the form below for current holdings and stop loss levels for the Canadian Portfolio, or for details on the International and US Sector Portfolios.

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