McClintock Sector BPI Portfolio Review: 27 December 2023

St Johns Bridge – Portland, OR – I should be standing further to the right to eliminate the vertical pole.

The McClintock Sector BPI portfolio is only a few months into this investing model.  In the last screenshot readers will see the benefits of this model.  At least the latest results are extremely positive.

No sectors are currently in the oversold zone so we are looking to the U.S. Equities ETFs for buying opportunities.

McClintock Investment Quiver and Holdings

Here we have the investment quiver and current holdings for the McClintock.  VPU and VNQ were recently sold out of the portfolio as the TSLOs were struck.  I have a few limit orders in place for ESGV, VOO, and VTI.  Most of the orders are well below the current price so I don’t expect the orders to be filled.  Right now I’m waiting for a market correction and the opportunity to purchase undervalued ETFs.  Before that happens the TSLOs need to kick in for all overbought sectors.

McClintock Performance Data

Over the past two years the McClintock managed to outperform SPY or the S&P 500.  Note that SPY is holding slight margin on the index it is to mirror.  The delta between SPY and the McClintock is small.  Nevertheless, the margin is tilted in the correct direction.

McClintock Risk Ratios

The strong bull market pulled the Jensen Performance Index into positive territory for the first time since last December (2022).  In the next update I expect to see the slope of Jensen flip from negative to positive.

The Information Ratio is the highest its been since last May.  The Sector BPI investment model is working.

McClintock Sector Contributions

The following table shows how the sector ETFs contributed to the McClintock.  While the McClintock did not hold any sector ETFs over this entire period, when it did the sector ETFs far surpassed SPY and the other potential benchmarks.

More data is needed and we need to see these trends continue before the hypothesis migrates into a viable theory.  Each month of information tends to strengthen the Sector BPI hypothesis.

Questions and Comments are always welcome.