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Permanent Folio Strategy

blackswantrader

Published: 05 Apr 2021 › Updated: 05 Apr 2021Permanent Folio Strategy

Permanent Folio Strategy

Current #permanentFolio is 50% in IWM and 50% in Cash. It uses three ETF's to represent Us Markets (IWM, SPY, QQQ), TLT for Bonds, GLD for gold, EEM for emerging Markets, UUP for us dollar. The basic concept was first defined by Harry Brown in his book in 1980 that allows you to stay in Market at all time. I have studied this concept and came up with Strategy that this link shows. So you can save it and follow it or use it for your self as passive investor.

My Rules are

  1. Review Once a Month end or start of Month.
  2. Buy top two that have RS above 85 and have highest 6 mo return.
  3. Hold and review each month only sell when Something falls below top2 and has RS below 80.
  4. 200 Day EMA is your line in sand and you should exit to cash if at anytime etf's fall below that level. ( This rule is to prevent you taking losses in crash condition)

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