iQ Seasonal Hedge Model

 

 

CLICK HERE for a complimentary Model Fact-card.

SELL IN MAY and GO AWAY...

As a result of our research, we have observed a substantial difference in historical returns in the November through April period versus the remainder of the year.  In addition, our research has taught us that bonds tend to outperform stocks May through October.

The Seasonal Hedge Model invests in Stocks during the months of November through April and intermediate-term Treasury Bonds the remaining six months.

Process:

  1. November through April - OWN STOCKS

    1. Select the largest 250 stocks from industries that have displayed historical out-performance during November through April time-frame.

    2. Sort by Operating Earnings and Dividend Yield and select the top 10

  2. May through October - OWN BONDS

    1. Own an intermediate-term United States Treasury Exchange Traded Funds (ETFs).