This segment, the fifth in a six part series on creating, maintaining and managing a portfolio in a $50K IRA account, reviews the original portfolio, the changes made, and the performance of the portfolio since it was created.
Our original portfolio was constructed using inversely correlatedproducts. This enabled us to take advantage of higher option . By adding options we also lowered the of our positions and reduced our directional risk.
A table of all the positions and their equivalentwas displayed. By using options we have reduced our directional risk to ⅕ the risk and in doing so lowered the required to hold the same positions. This makes room for additional trades.
A graph of the Top Dogs portfolio versus SPY from January 19th to present was displayed. The Top Dogs portfolio had a lower variation of returns (less risk) and used less capital than just being entirely invested in SPY.
Watch this fifth segment of “Top Dogs For Smaller Accounts” with Tom Sosnoff and Tony Battista for the valuable takeaways and more information about wisely managing a smaller IRA portfolio.