Starting today at 4:30pm ET, EarningsBeats.com is excited to unveil a Sneak Preview of its latest product, the Model ETF Portfolio. The concept is rather simple. We plan to do the research to provide our members with a Strong ETF ChartList, highlighting the best performing ETFs from a technical perspective. But we won't stop there, because we believe everyone should know what you own. So our Strong ETF ChartList will provide you with important annotations and details on every ETF in this ChartList, including the top holdings and the sector representation, two key factors when choosing an ETF. Next Monday, we'll hold our very first "ETF Draft Day" where we'll provide the list of ETFs we'll include in our inaugural Model ETF Portfolio. Our goal will be to beat the benchmark S&P 500 by focusing on strong and strengthening areas of the U.S. stock market. Like our stock portfolios, the Model ETF Portfolio will be held for 90 days, at which time another critical evaluation will take place in determining which ETFs should be held for the next 90 days.
Balancing this Model ETF Portfolio will be important as well, as some ETFs are highly concentrated in a few names, while other ETFs are highly diversified among many names. Blindly putting say a 20% weighting in each makes little sense because of the very different concentration levels of each. So there'll be a little bit of math and planning involved here, not to mention the obvious analysis of the holdings and sector representation. We will want our Model ETF Portfolio to be comprised of ETFs that hold stocks that we favor at EB.com.
If you're unfamiliar of our style and strategy with regard to individual stocks, here's a recap of our Model Portfolio's performance since its inception on November 19, 2018. Keep in mind we've dealt with two cyclical bear markets throughout its history, which spans just under two years. Still, I believe the results speak volumes about our approach:
Our strategy is very simple. Own leading stocks in leading industry groups and change the holdings every 90 days, so that the portfolio is constantly represented by market leaders. Our quarterly portfolio announcements have been made in real time and we have videos to support the selections. Our Model Portfolio is up more than 16% since August 19th, the date of our last "Draft Day", where we announce our portfolio of 10 equal-weighted stocks to hold for three months. Over the same time frame, the benchmark S&P 500 is up 3%. Barring a significant reversal, our Model Portfolio will outperform the benchmark S&P 500 for the 7th time in the last 8 quarters in an era where most fund managers can't outperform that benchmark index over annual periods.
So tonight kicks off the next era at EarningsBeats.com, one where we'll attempt to duplicate our success on the ETF level. Today's Sneak Preview is a FREE webinar open to everyone. We will send out webinar instructions to our entire community later today. But you have two other ways to join. Our webinar room will open at 4:00pm ET and you can join directly by using this link:
https://us02web.zoom.us/j/89684807539
If you're not a current EB Digest subscriber and you attend today's event, we'll be sure to add you to the newsletter. It's free and there's no credit card required. You can unsubscribe at any time.
A second way to access this event directly from our website is to CLICK HERE. Under our Sneak Preview event, you'll see a link to join the webinar there as well. This will be an educational event and likely an eye-opener for many of you. I see very bullish times ahead for U.S. equities, so there's never been a better time to join us at EarningsBeats.com!
Happy trading!
Tom
