This section lists the historical performance results for various index fund and ETF strategies.


ETF's
Exchanged Traded Funds (ETF's) give you the flexibility and diversification you need to actively manage your money. ETF's represent shares of ownership in either fund, unit investment trusts, or depository receipts that hold portfolios of common stocks that closely track the performance and dividend yield of specific indices. Currently, ETF's track broad market sectors or international-based indices. ETF's give investors the opportunity to buy (long position) or sell (short position) an entire portfolio of stocks in a single security as easily as buying or selling one share of stock.

One of the major benefits of trading ETF's is that they are diversified. ETFs represent or track a basket of stocks or securities. Currently, there are ETF's that track major indices, broad sectors, groups, foreign countries, and even bond portfolios. Because they represent an aggregated basket of securities, your investment is diversified and not tied to the bad earnings of an individual stock.

FundSpectrum works best with securities that are correlated to the Small Cap (Russell 2000) and Technology (Nasdaq 100) indices.


Index Funds
Over the last several years, a number of mutual fund families have sprung up that promote the use of active management or market timing. Rydex and Profunds lead the way in this field.

These modern fund families have also added leverage to their funds so that their returns will be greater than the returns of the index they benchmark to. To allow fund investors to play both sides of the market, each of these fund families has developed a series of funds that are inversely correlated to their benchmark index. In other words, when the Russell 2000 index decreases by 10%, their Inverse Russell 2000 index fund will increase by 10% and their leveraged inverse Russell 2000 index fund will increase by 20%. These inverse funds effectively allow you to "short" the market when you expect the market is going to decrease. These fund families are a great investment vehicle to be utilized with FundSpectrum's investment system.



Fund Families by Index
In the below tables you will find a selection of the main index funds. All the funds are traded using our Timing Signal as of inception date of the individual funds. When the signal indicates a "Buy" you would invest in a "Long" fund. During a "Sell" signal you would either choose a "Money Market" or an "Inverse" fund. If your objective is to produce high annual returns with controlled risk, then trading these index funds would be the preferred choice.

RUSSELL 2000 - LONG

Signal
Fund
Ticker
Buy
Mekros
Small Cap
Small Cap Value
Small Cap Growth
Small Cap Plus
Russell 2000
Dynamic Russell 2000
Ultra Small Cap

RUSSELL 2000 - INVERSE

Signal
Fund
Ticker
Sell
Short Small Cap
Inverse Small Cap
Short Small Cap
Inverse Russell 2000
Inverse Dynamic Russell 2000
Ultra Short Small Cap

NASDAQ 100 - LONG

Signal
Fund
Ticker
Buy
OTC
OTC
OTC
OTC Plus
Ultra OTC
Velocity 100

NASDAQ 100 - INVERSE

Signal
Fund
Ticker
Sell
Short OTC
Arktos
Ultra Short OTC
Venture 100

ETF - LONG & SHORT

Signal
ETF
Ticker
Buy
Russell 2000
Nasdaq 100
Sell
Russell 2000
Nasdaq 100
    

Note: In the above tables their will be a difference in performance between similar index funds from Rydex and Profunds which is due to their different inception dates. Normalized, Profunds and Rydex funds should show more or less similar performances.

Performance section for the various mutual funds strategies