Evitar Corte

Defense Wins Championships!

Our Evitar Corte strategy is designed with one purpose in mind.  It seeks to avoid market crashes.  At all other times this strategy remains invested.

Ideally, and with the best correlation, this strategy would be invested in SPY.  That is the index ETF for the S&P 500.  Unless there are market crash warnings that come from our Evitar Corte model, the strategy would be fully invested in SPY.

However, if market crash warnings were to come from the Evitar Corte model, all the SPY position would be sold.  This assumes that the position is being held in a retirement plan, or an account that did not need to pay capital gains taxes.  For taxable accounts, there is a slightly different method, but the objective is the same.  If crash warnings come the instruction is to completely neutralize the portfolio against market risk until the crash warning subsides.

Platinum subscribers receive real-time e-mail alerts when there is a crash warning from our Evitar Corte model.  These are also posted on our website for Platinum subscribers to review.

• Importantly, crash warnings do not come all the time, there have been only four such warnings since 2000, but substantial outperformance is also realized by simply protecting against market crashes.

Detailed performance data is available to Platinum and trial subscribers.

• What you find is a model that tracks the S&P 500 in lockstep at all times other than when crash warnings come, and until the corresponding bookend alert for that crash warning is provided.
• Ask yourself, how many mutual funds and money manager struggle to keep up with the S&P 500 anyway, so why not just invest directly in it, expect for when crash warnings come? 
• It makes sense!

This same model can be overlaid onto existing diversified portfolios instead of using SPY.

Details about our Evitar Corte can be found on our members website.