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Weekly Summary of Research Findings: 3/9/20 – 3/13/20

| | Posted in: Miscellaneous

Below is a weekly summary of our research findings for 3/9/20 through 3/13/20. These summaries give you a quick snapshot of our content the past week so that you can quickly decide what’s relevant to your investing needs.

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  • U.S. Stock Market Returns after Extreme Up and Down Days
    Evidence indicates that the U.S. stock market tends to generate abnormally volatile returns after extreme up and down days, with subsequent performance better after down days than up days.
  • Combining the Smart Money Indicator with SACEMS and SACEVS
    Available evidence suggests that Smart Money Indicator-based strategy variations attractively diversify SACEMS and SACEVS, with combination portfolios having low volatilities.
  • Warren Buffett on Investing
    Warren Buffett’s focus is to buy deep value in a few companies he understands well, and then hold until the value is no longer there. If there is nothing to buy, he sits on cash. The approach appears to work, but outperformance fades to zero over the past decade.
  • U.S. Stock Market End-of-Quarter Effect
    Evidence suggests some differences between U.S. stock market QEND and TOTM anomalies, especially the relatively weak performance around the end of Q3.
  • Stock Market and the National Election Cycle
    Evidence suggests both long-term and short-term connections between the U.S. national election cycle and U.S. stock market performance, with: (1) presidential term year 3 the best by far; (2) mid-term congressional elections pivotal; and, (3) a tendency for a brief pre-election rally.
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