October | 2016 | iMarketSignals

This market timing model compares the performance of two different types of stock groups over time and provides signals when to invest or not to invest in the stock market.
When the performance of the Hi-Beta stocks becomes lower than, or equal to Lo-Beta stocks the model exits the stock market and enters the bond market.
It re-enters the market when the performance of the Hi-Beta stocks becomes higher than Lo-Beta stocks.
From 2001 to 2016 switching between bonds and stocks provided significant benefits. This strategy would have produced an average annual return of 12.5% versus only 5.2% for buy&hold stocks.