US and Global Sector ETF Portfolios For April

Please see the right hand side of Scott’s Investments for the April update to the US and Global Sector ETF portfolios. I track the performance of each month’s portfolio as well as previous months’ performance. A summary of the data is listed below, including the percent each ETF is above/below the 200 day moving average.   

US Sector  

Last month the top 3 US sector performers based on the sum of the quarterly, half year, and annual returns were  materials (NYSE:XLB), energy (NYSE:XLE), and industrial (NYSE:XLI).  This month all of the sector ETFs are above their 200 day moving average which was also the case last month. The top 3 based on momentum this month are the same XLB, XLE, and XLI.  

I have improved the way the performance of the sector momentum strategies are tracked.  The strategies are tracked as a hypothetical portfolio with a starting balance of $10,000. Year to date the US Sector portfolio is up 9.63%, including dividends.  

Global Sector  

Last month the top 3 Global sector performers based on the sum of the quarterly, half year, and annual returns were  industrials (NYSE:EXI), energy (NYSE:IXC), and materials (NYSE:MXI).  This month all of the sector ETFs are above their 200 day moving average which was also the case last month. The top 3 based on momentum this month are the same, EXI, IXC, and MXI.  

As stated above the strategies are tracked as a hypothetical portfolio with a starting balance of $10,000. Year to date the Global Sector portfolio is up 5.36%.  

Potential strategies an investor could employ would be the following:     

  • Buy the top 3-6-12 or 6 month performers and hold for one month. Or, buy the top performer based on the 6 month performance.
  • Buy the top performers only if they are also above the 200 day moving average.
  • Buy any ETF which is above the 200 day moving average, sell if it drops below the 200 day average. Update once per month
  • Trade the top 3 momentum performers using a more detailed trading plan such as one I detailed here.

The strategy used for the US and Global Sector ETF portfolios is to buy the top 3 ETFs based on the average of their 3, 6, and 12 month returns. The top 3 momentum ETFs must also be above their 200 day simple moving average. The portfolio is updated once per month, at the end of the month.  

For some additional background on the strategy please click here and/or check out Mebane Faber’s The Ivy Portfolio: How to Invest Like the Top Endowments and Avoid Bear Markets.  

The data source for the information below is Finviz. 


US SECTOR













Symbol Name Trend Quarterly 6 Month Year Average 200 Day SMA
(XLB) Materials Select Sector SPDR Here 4.46% 23.48% 20.22% 16.05% 15.73%
(XLE) Energy Select Sector SPDR Here 17.42% 43.38% 38.55% 33.12% 28.07%
(XLF) Financial Select Sector SPDR Here 3.15% 14.94% 3.02% 7.04% 8.11%
(XLI) Industrial Select Sector SPDR Here 8.61% 21.58% 22.17% 17.45% 15.70%
(XLK) Technology Select Sector SPDR Here 3.67% 14.01% 14.61% 10.76% 9.48%
(XLP) Consumer Staples Select Sector SPDR Here 2.71% 8.88% 9.52% 7.04% 7.18%
(XLU) Utilities Select Sector SPDR Here 2.74% 3.78% 10.58% 5.70% 4.25%
(XLV) Health Care Select Sector SPDR Here 5.55% 9.64% 4.55% 6.58% 8.60%
(XLY) Consumer Discret Select Sector SPDR Here 4.52% 17.98% 19.93% 14.14% 12.27%

    


Global Sector













Symbol Name Trend Quarterly 6 Month Year Average 200 Day SMA
(EXI) iShares S&P Global Industrials Here 7.58% 19.38% 19.50% 15.49% 14.66%
(IXC) iShares S&P Global Energy Here 14.28% 32.40% 25.66% 24.11% 22.53%
(IXG) iShares S&P Global Financials Here 5.12% 10.54% 3.01% 6.22% 7.29%
(IXJ) iShares S&P Global Healthcare Here 4.48% 7.64% 5.01% 5.71% 7.48%
(IXN) iShares S&P Global Technology Here 1.79% 13.04% 8.25% 7.69% 7.91%
(IXP) iShares S&P Global Telecommunications Here 6.74% 9.86% 20.84% 12.48% 9.81%
(JXI) iShares S&P Global Utilities Here 1.38% 2.98% 3.24% 2.53% 2.67%
(KXI) iShares S&P Global Consumer Staples Here 1.91% 6.73% 9.92% 6.19% 6.65%
(MXI) iShares S&P Global Materials Here 2.15% 19.11% 17.06% 12.77% 13.64%
(RXI) iShares S&P Global Cons Discretionary Here 2.45% 13.65% 17.23% 11.11% 9.81%

Written By Scott’s Investments   No position disclosures      

Scott’s Investments focuses on several different ETF portfolio strategies ranging from Basic, Individual, Country, US Sector, and Global Sector ETF portfolios.   

   

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