Finally, I added a couple financial sector short positions today. Under normal conditions the financial sector represents about 12% of the S&P 500. They now have a weighting of over 13%. They represented 8% during the 2008 bear market. They are so out of favor I think they have more room to fall.
I bought SEF, a 1X inverse financial ETF in the Long/Short 1X Folio and SKF, a 2X inverse financial ETF for the Long/Short 2X folio. The Director Model Folio is the only model that allows 2X investments.
I generally do not blog about all purchases and sales, but I think it is helpful to show GWM investors how we are repositioning the GWM Models Portfolios in the tough market conditions we now find ourselves in.
This blog post does not constitute an offer of investment advice. This blog is only provided for educational purposes. Please read the Important Blog Disclosure posted in the right channel bar.