I’m late posting this week’s Mosaic update as I’ve been working on a model using RYDEX funds in lieu of ETFs and testing optimum days for trading rotation models. Meanwhile, these are the current stats for our AGG,XLE,QQQ,TLT model. The difference between the simple Mosaic model and the RM version is that the base model only adjusts once a month to rebalance position sizing in the portfolio to maintain the fixed % of capital allocations. The RM is an “actively managed” model and may or may not trade on a daily basis, depending on the confirmation of a momentum signal. RM may stay in cash for extended period of time.. as it did during the late 08, early o9 plunge…and that’s how the active management approach achieves the max 3.4% drawdown. Note that the base Mosaic model has now outperformed the SPY for the past 12 weeks.
