Contrarian Fund

The Contrarian Fund identifies stocks that have been out of favor for the last 6 to 12 months and are starting to recover. This system also allocates a portion of the portfolio to short hedge trades. This strategy uses a proprietary 4 level scanner comprising technical, fundamental and factor-based quantitative analysis. The bullish trades are on companies that have improving fundamentals and have moved into high probability bullish technical setups. The bullish trades are typically open for 30 to 90 days. The bearish trades are on fundamentally weak companies that have moved into high probability bearish technical setups. Four percent of capital is allocated to each trade. This strategy is offered as both autotrade and self-managed.


Summary of Benefits

Managed by a trading-centric chief publisher who is:

  • Nimble and fast moving
  • Follows strict exit rules and will close positions decisively as dictated by the technicals
  • Dramatically increases the probability of preserving capital during periods of high volatility

Dynamic Blend of long and short trades

  • Reduces volatility of the portfolio while boosting returns
  • Offers protection during market corrections or black swan events

Sophisticated analysis comprising technical, fundamental and factor-based quantitative analysis

  • Identify stocks that have moved into high probability technical setups, including:
    • Accumulation and distribution
    • Relative strength
  • Identify stocks that show improving fundamentals, including:
    • Sales growth
    • Earnings growth
    • Pre-tax profit
    • Return on equity
  • Factor-based quantitative screen to identify stocks with the following:
    • Have high probability of making a move up or down
    • Have high probability that the magnitude of the move will be significant