1. Returns 2008 2009 2010 2011 2012 2013 YTD as of 5/30
Bull Bear Strategy 8.05% 26.30% 2.32% 10.43% 15.79% 32.33% 4.67%
S&P 500 Total Return -36.97% 26.62% 15.05% 2.08% 15.96% 32.33% 4.67%
Strategy Highlights
Seeks to be fully Long in stock Etf’s when the Dynamic index is equal to 2 or 4
Will move assets into money markets or short-term bond Etfs when the Dynamic Model is equal to 0, and will
go short when the Bear Index = 0 for capital preservation in bear markets
Trades infrequently, in testing 35 trades in 36 years. Will tend to trade more often in bear markets and much
less in bull markets
The Dynamic Index is a composite model which is made up of nine indicators which are comprised of
monetary indicators (federal Reserve Actions), Interest rates, sentiment indicators , corporate bond
market momentum, market internals, and market technicals. These indicators are then consolidated
2. to form the Dynamic Index which will give readings of either 0, 2, or 4. When the Dynamic model is
equal to 2 or 4, the portfolio will be fully invested in the stock market by the use of equity etf’s.
However when the Dynamic index is equal to 0, the portfolio will then be moved out of equities and
into money markets or short-term bonds to preserve capital, and when the Bear Index = 0 the Bull
Bear Strategy will go short the S&P 500.
