Ubique | March 2020 Update
Where do we start! A global pandemic on a scale not seen since the Spanish Flu is definitely not something one can legislate for, but this is why we feel it is ever so important to be mechanical and process driven during such unprecedented times.
With one of our strategies triggering our circuit breaker last month, and our indicators showing the market is in a downtrend, a third of the portfolio this month sat in cash whilst both our seasonal sector rotation strategy and the golden ratio continued. The net result was a loss of -4.75% for the month bringing our YtD number to -14.51%. Not great, but considering that is almost 6% better off than the S&P500, this will be a better result than every buy-and-hold strategy out there.
Looking forward, we don't have a clue as to what to expect, and nor does anyone else. What we do know, is that we will continue to be methodical, process driven, sticking to our structure as we always have, and allowing the safety mechanisms to kick in if triggered. The next few months will be a fantastic proving ground to the robustness of the portfolio as a whole and the individual components which make it up. If it can weather this, then it will be strong enough to withstand almost anything!
Until next month, stay safe, and swing easy.