About

This is a personal blog developed and maintained by Canadian investor Fred J Penney to illustrate the application of his proprietary stock market timers to the Canadian and US stock markets using double exposure (2X) ETF’s.  Horizons Beta Pro S&P/TSX 60 Bull Plus (HXU) is used for the Canadian stock market and Proshares Ultra QQQ (QLD) is used for the US stock market.

Models have been developed by Fred which are based on the thesis that an investor can outperform a buy-and-hold strategy using long double exposure ETF’s when a proven timer generates a long signal and then going to cash, money market ETF’s or short term bond ETF’s when the timer signals that it’s time to get out of the market.

If you are looking for rapid-fire models that have you in and out of the same ETF in one week then these models are not for you. Thus far, the average time between signals is about 78 days thereby keeping transaction costs to a minimum and providing you freedom from your computer to pursue more important things in your life.

Likewise, if you are looking for a stock market timer that provides a wide range of signals such as mildly bearish, strongly bullish, two green lights, two yellow lights or any of a plethora of convoluted messages, the timers presented on this site aren’t for you. These timers have two signals: long and cash/money market ETF’s/short term bond ETF’s. The decision of where to park money when not invested in a double exposure long ETF is yours to make based on your personal risk tolerance and outlook.

The double exposure ETF’s that are used in the ETF2X models have been around only since 2006 in the US and 2007 in Canada so long term testing of the models is not yet possible.  However, the results so far speak for themselves when they are compared to a buy-and-hold strategy or commercial timers in terms of both return and ulcer index.

Education Initiatives

Fred provides financial support for:

• Fred J. Penney Leadership Award – Presented to students ar Exploits Valley High to cover some of the expenses incurred while attending provincial and/or national student leadership conferences. 2005 to present.
• Male Student of the Year – Presented at the high school graduation for Exploits Valley High. 2008 to present.
• Scholarship for Top Three Level II Students at Botwood Collegiate. Started in 2009.

If you wish to contact Fred, please send an e-mail to etf2xsupport@gmail.com.

Information provided on this site is not intended for trading purposes or advice. Investors should perform their own due diligence before purchasing stocks/ETF’s.  Past performance is no guarantee of future performance.