Asset Allocation Strategy (Strategies And Portfolios)

Asset allocation is the allocation of investments across different classes of assets. In a broad sense, this means a combination of stocks, bonds, various securities and money market instruments. Within these classes, subclasses are also distinguished: Asset allocation strategy (strategies) We have provided several examples of backtested asset allocation strategies. Please click the link below:…

Meb Faber’s Global Asset Allocation Portfolio

Today we will look at Meb Faber’s Global Asset Allocation portfolio from his book of the same name. The Global Asset Allocation portfolio is a passive investment strategy that aims to provide investors with a diversified exposure to global asset classes. In this article, we will explore the portfolio’s key features, performance, and assess whether…

Trend Following Trading Strategies and Systems Explained (Including Backtest and Statistics)

Trend following strategies and systems are popular, especially in the commodity markets, and we aim to shed some light on this type of investing in this article. In this article, we take a deeper look at explaining what trend following is. Do trend following systems work? Which markets do trend following strategies work on? Are…

Do Trend Following Trading Strategies Work? Why Does Trend Following Work?

Trend following has many followers, for some investors and traders trend following is like a religion. But does trend following work? And if so, why does it work? Yes, trend following does work. If we look at history, even simple trend strategies work remarkably well. In this article, we look at the MLM Index and…

Paul Merriman 4 Fund Portfolio – Backtest And Performance

Paul Merriman is a financial advisor and has presented several low-cost “passive” investment strategies. One of them is Paul Merriman 4 Fund Portfolio. What is it, and how has it performed? Paul Merriman 4 Fund Portfolio is a simple investment strategy consisting of four low-cost index funds with large caps, small caps, and small cap…

Supertrend Indicator Strategy – (Backtest, Settings, Formula, And Performance)

In this article, we will discuss an indicator called SuperTrend, which has a very promising name. So, what is the SuperTrend indicator exactly? The SuperTrend indicator is a type of trend following indicator that was created by trader Oliver Seban. It signals the direction of a trend, its continuation, or changes in direction. Our backtest…

Bond Trading Strategies – How To Trade Them (Backtests)

Despite being much larger than the stock market, the bond market gets much less attention from short-term individual traders. That’s a shame because bonds are great trading vehicles. This article will explore bonds and show you examples of how you can trade them. Why would you trade bond trading strategies? Bond trading strategies are a…

Coppock Curve Strategy – What Is It And How Does It Perform? (Backtest)

Today we will look at a strategy that saw the day of light nearly 60 years ago. The somewhat cryptic name is the Coppock Curve. What is the Coppock Curve strategy about? The Coppock Curve Strategy was devised by economist E.S.C. Coppock under a mandate from the Episcopal Church to find long-term investment opportunities. It’s…

S&P 500 Momentum Strategy – As Simple As It Gets (Backtested)

Momentum trading is the opposite of buying low and selling high: momentum is about buying strength. Can we make a successful momentum strategy for S&P 500? Yes, a momentum strategy for the S&P 500 works. We use monthly bars and a simple moving average strategy crossover system. Let’s show you why a momentum strategy works:…

Ray Dalio’s All Weather Portfolio (Backtest, What Is It, Returns, Performance) [Trading & Investment]

Ray Dalio’s All Weather Portfolio is a pretty well-known portfolio, and for good reasons, in our opinion. Ray Dalio and his team at Bridgewater Associates constructed the All Weather Portfolio to withstand every economic environment (and shocks) possible. What exactly is the All-Weather Portfolio? Which assets are included? How has it performed? What was the…

10 Swing Trading Strategies Backtested (With Historical Performance)

What is the best strategy for swing trading? Is swing trading still profitable? We have summarized 10 free swing trading strategies that might help you start your trading career. The internet is flooded with anecdotal evidence about how to swing trade and how to make money. Unfortunately, almost all articles consist of unproven and untested…

Nassim Nicholas Taleb – The Barbell Strategy (Options, Trading Strategies And Philosophy)

Nassim Nicholas Taleb is a world-known statistician, mathematician, philosopher, trader, and investor, and his primary interests evolve around randomness, uncertainty, and probabilities. Taleb came into the limelight after his book called Black Swan became a best seller, but in our opinion Fooled By Randomness from 2001 is his best and most interesting book, at least…

3 Free Mean Reversion Trading Strategies (Backtested Buy And Sell Signals)

Today we are presenting three free mean reversion strategies. They were partially published on this website a few years back, and today we make some minor adjustments and present their performance on different ETFs. Furthermore, we discuss why mean reversion works and which markets are best for mean reversion trading strategies, and also some historical…

Mean Reversion Trading Strategies and Backtest | (Pros And Cons Of Mean Reverting Systems & Indicators)

Mean Reversion Trading Strategies and Backtest. How do you create or build a trading strategy that is based on reverting to the mean? What are the pros and cons of mean reversion trading strategies? Do mean reversion strategies work? This article gives you some input and advice on how to develop a mean reversion trading…

The 60/40 Strategy Portfolio – Is It Dead? (Backtests, Alternatives, And Substitutes)

Determining the right mix of assets to help you reach your short-term and long-term financial goals is the key to building a winning investment portfolio. For many years, financial advisors and experts recommend the 60/40 portfolio because of its simplicity and favorable risk-adjusted returns. But given the changing economic situations in 2022 and the 60/40…

Tail Risk Hedging Strategies – What Is It? (Tail Hedge Examples And Backtests)

How can you hedge against huge losses from totally random and unpredictable events? How can you insure yourself from devastating losses that come out of the blue? This is what tail risk hedging strategies are all about. Tail risks in the stock market are hard to protect against, but in this article, we offer some…

Why Scalping Is A Waste Of Time (Do This Instead) | Is Scalping Trading Profitable? (Strategy)

This article argues why scalping is a waste of time. Why? Because you highly likely end up losing money. We don’t recommend scalping when trading. Scalping is hard and almost all scalpers end up losing. Scalping is a waste of time because it involves competing with better-equipped traders and institutions and you need to deal…

What Is The Holy Grail In Trading? (Holy Grail Trading Strategy)

What is the holy grail in trading? Is there a holy grail trading strategy? The closest thing to a holy grail in trading is diversification. There is no holy grail trading strategy or strategies, but consistency can be achieved via non-correlated strategies. This is not a simple process but requires hard work plus delayed gratification….

Turtle Trading Strategy: Rules, Statistics, and Backtests – Does It Still Work?

Turtle trading strategies are a trading approach named after Richard Dennis’ popular trading experiment in 1983. The experiment was to determine whether trading was an inborn skill or could be learned. The turtle trading experiment was a huge success, and the strategy employed by those traders was very successful all through the 1980s. But does…

Rubber Band Trading Strategy — What Is It? (Backtest)

As Warren Buffett rightly said: “You need to be fearful when others are greedy, and greedy when others are fearful.” This perfectly applies to the Rubber Band trading strategy, but what is it? The Rubber Band trading strategy is a simple but powerful contrarian/mean-reversion strategy for trading stocks, which is easy to understand and easy…

Low Volatility Stocks Strategy – Performance, Volatility, And Returns

Some stocks, and indeed some stock market sectors, are known for their relatively stable prices and little intraday fluctuations. Some traders and investors prefer such stocks, as they make use of low volatility stocks strategy. Want to know more about the low volatility stock strategy? Low volatility stock strategy involves investing in stocks with lower…

Bill Williams Awesome Oscillator Strategy — What Is It?

Williams stated in his book, “It is, without doubt, the best momentum indicator available in the stock and commodity markets. It is as simple as it is elegant.” That’s a bold statement. What is in Bill Williams Awesome indicator? The Bill Williams Awesome oscillator is an indicator that traders use to measure momentum in a…