Monday, October 25, 2010

Managed Futures: Performance & Diversification

Some of our readers know that our specialty is "alternative investments." We believe that alternative investments such as commodities, managed futures, and other diversifying strategies offer good diversification benefits to a traditional portfolio of stocks and bonds.

CARAT Capital was originally started to combine concepts of Modern Portfolio Theory, downside measures of risk, and robust trading systems. CARAT is an acronym for Computer Aided Research & Advanced Technology. Today, all money management activities are handled byAdamah Capital, a firm founded by Carlton Chin, CFA and his long-time friend and associate, George Parr.

Managed Futures have had a nice run over the past several months. Please check out the performance of our Diversified Program, tracked by a third-party firm. Carlton Chin, has a solid longer-term track record. Over time, managed futures have proven to earn returns from opportunities in the futures markets -- that are non-correlated to traditional assets such as stocks and bonds.

Please visit our websites and contact us for more information.

Intermediate-Term Stock Indicators Slightly Bullish 10/25/10 720am

As of the close Friday, our intermediate-term stock indicators turned slightly bullish from their recent cautious stance. They join the long-term models on the bullish side.

A look ahead at the indicators shows that with a pop upwards, the intermediate-term indicators may retreat back to neutral to slightly bearish. The stock market has certainly had a strong run over the past several months and the models reflect this fact. However, they do not want to "fight the tape" too long.

Saturday, October 16, 2010

Stock Model Indicators Remain the Same

Our stock market models remain the same:
  • Our long-term models remain bullish, with a full buy signal.
  • Our intermediate models remain slightly cautious, with a neutral to very-slightly-bearish signal.
As a result, our stock positions lean to the bullish side, depending on the short-term models. As usual, we will post any changes in long-term or intermediate-term stock market indicators to our blog.

Note that we are increasingly using SeekingAlpha to publish trading articles and investment information since they named Carlton Chin, CFA (Adamah Capital & CARAT) a "contributor."

Thursday, October 7, 2010

MLB Playoff Analysis for NY Times

In case you missed it, here's some analysis we did for the 2010 baseball playoffs based on quantitative analysis of concepts of sports psychology.

Long-Term Stock Models Go Long 10/7/10 350pm

Near the close today, our long-term stock market model has gone fully long, from it's medium-long position.

In addition, our intermediate-term models are just very slightly short, from a moderately short position. Net-net, we now have a moderate to medium-long stock market position and outlook. You can't fight the tape...