Why I like certain alternative investments

When a fund starts to lag, there can be many reasons: market conditions may have shifted, the manager’s style may no longer fit the environment, or something internal may have changed. Whatever the cause, the result is the same, performance suffers.
I think of it like coaching a NBA team. If a player isn’t producing, you don’t make excuses, you make a substitution. You care about results, because results mean winning. And since only five players can be on the court at a time, you can't keep adding more. You replace. Five is the max I have used over 25 years.
This morning I was thinking: if I wanted to structure a portfolio using stocks + bonds, what would I actually hold, and only based on the funds we’ve discussed in this thread?

EGRIX,ORR,TIBIX,SCHD

Why not THOAX,SGIIX?
All have good performance in the last year and more, but one-and-3-month chart shows you that TIBIX has lower SD. SGIIX+THOAX have a higher SD. THOAX is flat for more than 2 weeks.

1 month
1771079715222.png


3 months chart

1771079426094.png
 
Not a criticism as I really enjoy reading these discussions, but what do you see in these charts?

1771088847029.png


Which one would you invest in? Long? Short?
 
Rounded numbers YTD

ORR up 11%
JAKRX up 8%
EGRAX up 6.5%
QLENX down 2%

As of this morning I sit .21% below an all time high compliments of a big credit card payment.

Interesting note Fidelity has a short term technical weakness on ORR.

IMG_1182.jpeg
 
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M* has a bit different numbers; only EGRAX is pretty close.
ORR to QLENX YTD is at a 14.5% difference.

1771302259648.png



Below is M* % rank within the category for QLENX
1771302454142.png
 
My husband is still holding about 12% of his IRA in QLENX and he is thinking of reducing it by half. I have only a small amount in my account and since I am going to fund my ROTH using the equivalence of distributions from my annuity, I am going to sell all of it tomorrow as it has minimal gains.
 
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For giggles I just looked at QMNNX. I sold out of it in mid January and booked a $19,000 profit. It’s down almost twice as much as QLENX. I would have likely lost all my gains if I held it. Maybe thats an omen for QLENX. I am up almost 37% in the position.
 
COcheesehead said:
For giggles I just looked at QMNNX. I sold out of it in mid January and booked a $19,000 profit. It’s down almost twice as much as QLENX. I would have likely lost all my gains if I held it. Maybe thats an omen for QLENX. I am up almost 37% in the position.
Click to expand...
My husband sold all of his QMNNX that he acquired in Q4 last year on Jan 12 and made $5.1K. I looked at the current price and it went down $6.3K if he had continued to hold.
 
RetiredHappy said:
My husband sold all of his QMNNX that he acquired in Q4 last year on Jan 12 and made $5.1K. I looked at the current price and it went down $6.3K if he had continued to hold.
Click to expand...
QLENX and QMNNX remind me of Cathy Wood's ARK ETFs which kicked ass when the market was on fire, lifting all boats, but completely floundered when the market shifted.
 
surprising said:
QLENX and QMNNX remind me of Cathy Wood's ARK ETFs which kicked ass when the market was on fire, lifting all boats, but completely floundered when the market shifted.
Click to expand...
-1
ARK ETFs are high-volatility funds with huge spikes.
AQR meant to be lower volatility funds and shift to the right categories. In the last 5 years they achieved it.
6 weeks within 5 years is meaningless.

1.5-year chart of QLENX+SPY+ARKK
You can see that in 1, ARKK lost about 37%. In 2, it gains 125%.
Pic-1.png


For 5 years, QLENX proved a great risk-adjusted performance with better performance and lower volatility than SPY. ARKK lost over 50% with huge volatility.

Pic-2.png
 
RetiredHappy said:
My husband sold all of his QMNNX that he acquired in Q4 last year on Jan 12 and made $5.1K. I looked at the current price and it went down $6.3K if he had continued to hold.
Click to expand...
I made over $250K on EGRIX since last year.
What does it mean?
It depends on when I bought it and how much I invested in it. :cool:
 
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FD1000 said:
I made over $250K on EGRIX since last year.
What does it mean?
It depends on when I bought it and how much I invested in it. :cool:
Click to expand...
It is like saying that I have 7 figure capital gains in my taxable account. It is pretty much meaningless.
 
I took $70,000 in profit out of QLENX after yesterday’s market. It’s no longer my largest position and its now down to about 4% of my portfolio.
My largest holding now becomes a growth and income fund I’ve had for about 3 years. Which is an eternity for me. It’s up 75% in that time frame.
The QLENX money will stay in the alternative space. I am going to add a new ETF and shuffle around the rest.
Not giving up on QLENX, just not over funding it any longer. It paid last year in spades. Ringing the register on a portion of those winnings.
 
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