Archive Category: Infinite Momentum Alert Archive

As you’ll see in the table below, our 10-stock portfolio netted a 2.8% return over the four-week holding period between June 28 and July 26. A positive return is always good — but how good is it? Whether or not the quote is accurately attributed, I often think of what Einstein (supposedly) said about relativity:

Last week, I promised we’d have a look at one of our current holdings, American Superconductor Corp. (Nasdaq: AMSC), through the lens of our three-factor Infinite Momentum system. Shares of AMSC are up an incredible 168% year-to-date, far outpacing the already-strong performance of the S&P 500. Have a look:

In recent portfolio reviews, we’ve made detailed observations about divergences between the performances of our Infinite Momentum Alert portfolio and the broad market benchmarks. Last month, I noted how the market was up while our portfolio was up more. The month before that, we witnessed our portfolio being up while the market was down.

It’s time for another Member’s Mailbag! Though this month’s issue will be a bit different… First, we haven’t had a ton of new questions in our inbox recently. (If you want to help refill the queue, email my team and me at Infinite@MoneyandMarkets.com.)

In last month’s performance review, we talked about how a concentrated portfolio like ours can produce “up” months while the market suffers a “down” month. It’s a wonderful thing when it happens! But since the stock market tends to be up more than half the time on a monthly basis … it’s also important that a systematic strategy can outperform during the market’s “up” months, too.