The Germans celebrate Krampusnacht on December 5th (today), each and evert year, a day reserved for celebrating the fabled life of a certain Krampus, a half goat elf of Santa Claus who whisks away all of the naughty children. I do believe he does this at the behest of the very kind Santa Claus and I do believe he eats said children after he’s done. I do not know what type of food Krampus lives sustains himself on. But I am pretty certain small, naughty, children should be hiding this time of year.
Stocks are officially in idiot mode, the odd period just before Xmas where the volume is low and the opportunities sparse. Mostly everyone had a fine year and have wrapped up operations, fearing an end of year surprise that could jeopardize bonuses and fees. With only 33% of stocks higher today and my well diversified quant portfolio off by 0.28%, I am certain a great many of you naughty children are hiding out in the market now — wishing you had already sold.
Today’s big standout, aside from HMNY getting crushed down to the pancake, is copper — off by 4.5%. Whenever Dr. Copper hurries lower, people get to thinking China is somehow screwed over. I believe this is an idiot’s mentality, especially since China’s stock market performed best in 2017. I think it’s fair to assume markets will never really trade lower, not in our lifetimes. Best thing to do is diversify your investments, glance over at them every so often, and eat lots of sandwiches. The active manager stuff makes for a good drama, but it’s really overrated and I do believe I’ve proven that with my Quant strategies.
During 2018, I am shifting from weekly adjustments to quarterly. I will do this because the portfolio that I will build will be of supreme elegance, built to crush the S&P 500 with little to no effort. For a more timely portfolio and to keep the blood flowing, I’ll probably do a monthly one too.
As for my discretionary account: they’re pretty much filled with lottery tickets and have an insane quality to them. I am way more interested in automating my investments, than having to bother digging through the mud for a few choice trades. But I might be saying that now because ABC News induced me to buy more UVXY last week. Who knows?If you enjoy the content at iBankCoin, please follow us on Twitter