A short week saw Mi50 perform well with YTD close of Mi50 at +37.39% vs Nifty @+13.5% and CNX500 @+16% gains. Paper and chemicals were the big winners.
The max draw-down during the week was -3.09% and Mi50 closed at its ATH weekly close.
The strategy gained about a percent in the week while both the benchmarks lost more than a percent each. The relative out-performance of Mi50 over the broader indices also reached its highest this week at 21.53%
As long as we outperform the benchmarks AND (not OR) we get absolute 15-20% per year gain, we would be happy with the strategy.
The internals of the trades remain very strong.
As we get closer to the Fed interest rate outcome next week and later the debates of Trump Vs Clinton are expected to cause strong volatility in the market. I firmly believe K.I.S.S. principle will always deliver. The simple strategy awaits the inevitable turbulence for its first big test.
Our motto remains STAY HUNGRY but don’t BE FOOLISH. Have a Happy Weekend.