Most Shadowridge clients already know that they don’t have too much to worry about in this market, because we’ve got you covered in that regard. However, for the many non-clients who get this letter, like a neighbor who said their investments are a “mess” due to the inaction of their adviser, this article is for you.
As I discussed in last month’s Money Matters webinar, Shadowridge clients have recently benefited from the Shadowridge investment management team making some timely portfolio adjustments.
In early March, the markets picked up some serious downside momentum. The S&P 500 Index lost another 20% from March 29th through this writing on June 17th, with the tech-heavy Nasdaq and small company Russell 2000 indexes losing even more. (source: FastTrack)
Like everyone, we had taken some uncomfortable losses early in this market downturn along with the major indexes. But when things stop working, our Shadowridge portfolio managers don’t just sit there and wring our hands. We Adapt to Changing Markets®. This is what makes us stand apart from ordinary advisers or do-it-yourself investors. It makes our service what many investors are looking for in this kind of a market. It is also the reason why many of you are already clients.
In March, when the decline in most indexes was still in single digits, Ryan called our entire Shadowridge team together in Austin. The trading team had several serious face-to-face discussions about what we were seeing. We agreed that this looked to be a major market decline that was unfolding, not some garden variety correction that would bounce back in a few weeks. So, we adapted.
We moved many investments to cash in client accounts and increased the use of inverse funds (those that go up when an index goes down) in several of our strategies. Since March, our most-used Shadowridge strategies have made only small loses or in one case, small gains. This is a far cry from the 20% losses most investors have faced in the same time period.
Your investments shouldn’t be a mess. If you are frustrated with your current portfolio, give us a call at 888-434-1427 for a portfolio review to see how our strategies that Adapt to Changing Markets® can help you sleep better.
Contact us now, before we get another leg down in this bear market.