The purpose of the BFF Market Momentum Relative Strength Portfolio(s)™ is to seek maximum growth through the use of a "relative strength" investment selection process. Specifically, growth is sought through identification of high-RS (high-"Relative Strength") equity opportunities from an inventory of 30 individual large-cap blue-chip stocks, 28 iShares Sector ETFs and/or the top 500 U.S. stocks by market cap which are combined to make up the Portfolio's universe of potential investments. The BFF Market Momentum Relative Strength Portfolio(s)™ will typically consist of two or more "Models" each of which will make up a specific portion of the total investment Portfolio. The Models are designed to hone in on the strongest trends and avoid the weakest trends in their respective available inventory of potential investments. It is dispersion of returns within each Model's inventory that creates the opportunity for a relative strength evaluation process to identify worthwhile trends to follow, as well as those critical to avoid.
The most adaptive tool we have found to identify the strongest trends from the weakest within an investable universe is Point & Figure Relative Strength. Our Relative Strength calculations are designed to target long term themes of outperformance, while also remaining responsive enough to allow for rotation when market trends necessitate. In short, Relative Strength attempts to minimize exposure to underperforming positions, while letting profitable positions run. Most importantly, this systematic and rules-based approach eliminates the subjective or “emotional” trades, as the calculation is derived from price data alone.
The 50/50 Market Momentum Relative Strength Portfolio™ consists of the following Models:
These portfolios invest in individual stocks and iShares ETFs and are sub-advised by BFF Wealth Management, Inc., a registered investment advisor. To request information about our investment portfolios, please use the Learn More button below.
The 30/30/40 Market Momentum Relative Strength Portfolio™ consists of the following Models: