Q1 turned out to be another positive quarter for the World Cup portfolio, despite the fact that it lost money in 4 out of the 6 markets it trades.
Now, you might say to yourself, "How good is that system when it loses money in 4 out of 6 markets?" The reality is, the World Cup portfolio is a diversified portfolio that lowers your risk overall while at the same time enhancing your returns.
The opposite of this portfolio is to cherry pick what you think is going to happen. When you do that, you assume far greater risk losing money, in my opinion.
Losing money in 4 of the 6 markets did not affect the quarterly performance which was a positive return of 23.3%.
So you might be asking yourself how could the portfolio make 23.3% when it lost money in 4 the 6 markets it was trading? That gets down to being disciplined and following a market-proven program that has been published for the past 7 years. One of the secrets to the program is no secret at all, it is simply following the signals and letting your profits run. That is one of the hardest things for any trader to do.
Here's how the Q1 shaped up.
Corn - $1,400
Wheat - $1,275
Soybeans - $1,750
Gold + $10,010
Dollar Index + $6,420
Crude Oil - $360
Winners totaled $16,430
Losers totaled $4,785
This is a great outcome for the quarter because for every dollar you risked you made back 4 dollars. I consider Q1 to be a successful quarter, not the best, but certainly a good quarter.
Best Q1 - 2008 + $56,033.50
Worst Q1 - 2012 -$6,584.50
Net profits $11,645 on a $50,000 investment. Total return is 23.3% the quarter.
Trade results do not include commissions which vary from broker to broker. It is safe to say that you still would have a return of around 20% after commissions.
As you can see, the big winner was gold which was followed by the dollar index. The grains performed poorly, as did crude oil which turned in a rather flat performance.
You cannot just cherry pick one market and expect that market to perform every quarter, it just doesn't happen like that. No one knows, I repeat no one knows, including myself which markets are going to have the big moves for the quarter let alone the year.
The World Cup portfolio is available to all members and the signals are posted after the close of business every day. You can find out more information here.
I encourage you to take a look at this portfolio and follow it on paper and see if it works for you and fits into your investment goals.
Every success with the World Cup portfolio,
Adam Hewison
President, INO.com
Co-Creator, MarketClub
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