You might all be aware that the S&P500 is closing at all-time highs this week.
For this recap I’d like to dive deeper into two of our most popular A.I. SmartFolios and how they’re doing.
Red Oil SmartFolio
As a function of the recovery, the Red Oil Smartfolio has rebounded and remains strong (see in the chart).
Fundamentally, the recent drawdown is a function of the rollout of the vaccine in Europe and beyond. The European vaccine rollout has been abysmal due to poor logistics and lack of understanding regarding the “lethality” of the virus. As a result, they have been maintaining lockdowns longer than the market expected. Look for this Smartfolio to go to new highs.
The SPY I SmartFolio
The SPY I Smartfolio has currently reached all-time highs and approaching pre-covid levels.
The SPY I components remain strong. This SmartFolio is a recovery portfolio consisting of allocations across many sectors: Oil, Banking, Cruise lines, restaurant supply and technology. The SPY I will likely continue to advance to pre-covid levels and beyond.
Both SmartFolios continue to support the betting algorithm built into risk capital 2:1, meaning that a bet in Red Oil or SPY I SmartFolios would likely double before losing half their value.
Have a great week!
Kelly Korshak, CIO & the iFlip Team
The post Market Weekly Recap: All-Time Highs and A.I. Risk Management appeared first on iFlip.