There is no superior performance in following the herd, all it ever achieves is regression to the mean
- - Stocks
- - Bonds
- - Commodities
- - Precious Metals
- - Currencies
Long, directly and through Call Options.
Short, solely through Put Options.
Strategies
We have developed and refined a number of unique investment strategies through extensive experimentation and testing of a stream of new ideas. And we continue to do so. Our philosophy echoes Elon Musk's assertion that the pace of innovation is the only thing that matters.
Example of a Current Strategy:
Our current view on equities is that we have no clue whether they will continue to inflate or collapse. But the one thing we are fairly certain of is that they will not meander sideways for some significant amount of time. Because equities have never done that when at an all time high.
It is in the nature of animal spirits that markets always overshoot, both on the way up and on the way down.
So, if equities are at their all time high, then they have overshot, and it’s time for a significant pull back. But, if they are not at their all time high, then there is still potential for a significant upside.
Thus, we hold long-dated out-of-the-money Calls on the S&P 500 while shorting S&P futures. This strategy allows the Calls to outperform the S&P shorts if the market rises and the S&P shorts to outperform the Calls if the market falls.