Ubique | July 2020 Update
July delivered one of those months where everything just lined up right where we wanted to be. Gold broke to new all-time highs, continuing to push up our gold position, a stimulus package helped push up our financial sector holding, and weakening economic data helped push up our bond positions. This now puts us up over 14% up on the year, with the SPY now in positive territory for the first time this year at 5.47%. All considered, for what has happened so far this year, calling it a day right now on 14% for the year with less drawdown than experienced with the SPY would be a success by most standards, however as an absolute return strategy, we will continue to push on as per the strategy demands.
Into August, we will be holding no exposure to the market. Our Golden Ratio Strategy is still favouring gold over the market, our Sell in May Strategy has us holding long term bonds, and even our Seasonal Sector Rotation Strategy has us holding long term bonds this month.
In other news, in August we are going live and are starting to build up our track record, As such, we will be updating the website each month with those figures, probably in the form of the PnL sheet that the broker provides, so it’s there in its raw form for inspection. I am sure in time, we will think of a better way of publishing these numbers, but that is a task for another day.
If of interest, our latest Podcast episode deals with the survivorship bias issue we suffered recently in our testing, and goes into further detail than what was touched on last month in the monthly update email.
That’s about it for the moment, next month we should have our first month of track-record which we will start to flesh out and help build our pitch-deck.
For more in depth analysis, everything is on the website for inspection (www.willowoakadvisory.com).
Until next time, stay safe and swing easy.