Diversified Tactical Equity
October 13, 2014

Diversified Tactical Equity fell 2.93% last week, as only Third Day Tactical Blend posted a gain. Contrarian S&P Trading remained in cash for the week, while Political Seasonality remained in cash until Thursday’s close.

Strategy Weekly returns YTD-September returns Allocation
Diversified Tactical Equity -2.93% 2.51%  
Classic -3.98% -0.78% 7%
Contrarian S&P Trading -0.05% 4.15% 11%
Gold Equities Trading -1.44% -5.38% 12%
Market Leaders Dynamic Aggressive -5.91% -1.46% 10%
Political Seasonality Index -0.77% 5.82% 6%
S&P Tactical Patterns -3.71% -5.84% 12%
Self-adjusting Trend Following -7.86% 13.02% 11%
Systematic Advantage -2.57% 7.20% 10%
Third Day Tactical Blend 0.25% -1.79% 12%
Volatility Adjusted NASDAQ -3.53% 12.63% 11%

Diversified Tactical Equity implements strategic diversification within a selection of actively managed tactical strategies maintained and monitored by Flexible Plan Investments. Each of the strategies follows a rules-based discipline designed to best manage equity index and other asset class risk under various market conditions, utilizing no load index mutual funds. The Diversified Tactical Equity portfolio seeks to allocate within the leading tactical strategies that, when combined, seek to maximize return while reducing drawdown below a target level suitable for a growth-oriented investor. Each quarter the weightings among the eight component strategies will be reviewed and may be adjusted in accordance with Flexible Plan's proprietary technology. More information

Classic Update
October 13, 2014

Classic fell 3.98% last week, as all four of its positions posted losses exceeding 2%. Its small-cap growth position was exceedingly weak, falling more than 5%.

Political and Seasonal Tendencies
October 13, 2014

Political Seasonality Index entered into its 50% 2X Dow Jones Industrial Average-based position at Thursday’s close. It lost 0.77% on the week.

PSI Chart
 

S&P Tactical Patterns
October 13, 2014

S&P Tactical Patterns lost 3.71% last week. The strategy continued a 180% long exposure to the S&P 500 Index for last Monday (10/6) through Thursday (10/9), then turned neutral over last Friday (10/10), and finally changed to 60% long exposure on Friday’s (10/10) close to start this week.

S&P Tactical Patterns seeks out daily patterns in the S&P 500 Index price direction. Markets reflect human emotions. Investors adopt patterns of behavior in response to those emotions. S&P Tactical Patterns seeks out high probability, repeatable patterns in the S&P 500 Index to identify periods to buy, use leverage, or go short (or inverse) to the market.

Third Day Tactical
October 13, 2014

Third Day Tactical Blend gained 0.25% and Third Day Tactical Blend Balanced gained 0.04% last week. The model signaled a long position for Wednesday and Friday only. Wednesday’s position realized a good gain, but Friday’s gave back most of that gain. The model had us increase leverage to 1.3X at Friday’s close.

Weekly returns YTD-September returns
Third Day Tactical Blend 0.25% -1.79%
Third Day Tactical Blend Balanced 0.04% -1.94%

Volatility Adjusted NASDAQ
October 13, 2014

Volatility Adjusted NASDAQ was down 3.53% for the week while the NASDAQ 100 was down 3.89% for the same period, as the markets continued to respond to global economic concerns and news events. VAN began the week 1.2X long, but changed to 1X long for Tuesday through Thursday and was only 0.8X long for Friday—the market’s worst day last week.

Volatility Adjusted NASDAQ evaluates the current short-term volatility risk in the NASDAQ 100 Index relative to its long-term historical average on a daily basis. Equity markets do best during periods of low volatility, while most declines are presaged by higher volatility. The VAN strategy takes advantage of this relationship. In addition, it utilizes the market trend to seek to avoid missed opportunities and market declines not detected in advance by measures of volatility.
FPI 35th Anniversary

Since 1981, Flexible Plan Investments has been dedicated to preserving and growing wealth through dynamic risk management. We are a turnkey asset management program (TAMP), which means advisors can access and combine our many risk-managed strategies within a single account. Our fee-based separately managed accounts can provide diversified portfolios of actively managed strategies within equity, debt, and alternative asset classes on an array of different platforms. We also offer advisors our OnTarget Investing tool to help set realistic, custom benchmarks for clients and regularly measure progress. Read More...