Which garbage ETF or future would you recommend for a permanent short position with the purpose of hedging a high beta long portfolio.
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Garbage ETF or future for hedging
- Thread starter Maverick2608
- Start date
Yes, my starting point has been QQQ.
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And sometimes insure it yourself, depending on price + season.
SQQQ is a bit hi; SPXU,spxs = more reasonable, but not as exact hedge as sqqq or PSQ.
AS far as a ''permanent short'', no need for that in a uptrending bull market;
but good thing about an ETF, can enter or exit most anytime.
Most commercial insure companies will not let you cherry pick or apple pick prime time;
but trade insure ETFs requires more work. Selling some longs for cash works well.
This is an EXCELLENT question. But I dont think TQQQ is the answer. QQQs are one of the best lont term ETFs out there. In fact, I do not think I have ever seen one with a better IRR to max drawdown ratio. And while TQQQs have a slightly worse ratio in this regard, if the market goes up, they will go up bigly.
There are lots of ETFs, and CEFs, that just seem to perform horribly over time. I am typically looking for things going up, but as I test some in the future I will try and post the crummy ones here.
There are lots of ETFs, and CEFs, that just seem to perform horribly over time. I am typically looking for things going up, but as I test some in the future I will try and post the crummy ones here.
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TQQQ/ especially up early bull market\maybe strongest 1st + last quarter with much history.
PSQ =smoother[inverse of qqq] but more capital required.
I think I found a good candidate: IPO
I shall take a look maverick! Going to go out on a limb and guess it invests in IPOs?
