To educate and empower individual investors and financial professionals with:
Dave Fry has devoted over 40 years to the business of trading and portfolio management. He is registered as an arbitrator with the Financial Industry Regulatory Authority (FINRA) and the National Futures Association (NFA).
Dave is a frequent commentator and presenter on ETFs and other issues important to individual investors for ETF conferences and private investment groups. His perspectives are featured in global financial news sources, radio, webinars and print media..
By 2002 ETF Digest trading programs were making triple-digit gains, despite the sharp Dot Com overall market decline at that time and good gains were achieve during the financial crisis of 2008.
The ETF Digest began attracting favorable coverage in Barron’s with three positive reviews in 2002, 2004 and 2007.
How many times have I kicked myself because I thought I could outsmart my own system? When I first started trading, it seemed perfectly natural to do things like put off placing an order because I was waiting for current news stories to develop favorably, thinking that I, rather than some system, knew more about current market conditions. I thought it was prudent to err on the side of caution, and, in short, I was not pulling the trigger when I was supposed to. This is a recipe for certain failure for any trader. This is true whether you trade off the signals generated by The ETF Digest or by any other system. A wise trader once said, "An inferior system, consistently implemented, is superior to a great system inconsistently implemented."
It makes sense for investors to spread their portfolio over a wide asset class. The ETF Digest offers effective trading signals on a wide variety of market sectors, and I hope that subscribers will benefit by placing themselves in the strongest sectors and out of the weakest sectors at the best time.A key risk-reducing strategy that will optimize overall portfolio return has been the advent of ETF's (Exchange Traded Funds). These low-expense securities allow investors broad market exposure, flexibility (including the easy ability to short), and little individual stock risk.
I hate losing money. Everyone does. Yet, if you were operating a newsstand on a street corner, you'd lose money from time to time. It happens. Accept trading losses as a cost of doing business and move forward. It's the only path to success.
A "buy and hold" approach is a prescription for ultimate failure. Even the "averaging down" principles touted by many experts have proven to be a disaster. Just ask investors involved in the 1973-75, 2000-2002 and more recent bear market how well their stocks recovered when at last bull markets resumed. Many of the hottest stocks from those markets disappeared from the scene and never returned. Bull market maxims such as "buy and hold," "invest for the long term," and "average down" are hurtful to investors. Fee-conflicted firms want investors to stay in the market for the long term so they can earn long-term fees.
The NASDAQ, for example, peaked in 2000 at a level over 5,000 and nearly 10 years later is half that level.
One of my favorite people once said, "There are many ways to get to heaven." That maxim may also apply to investing or trading the markets. Warren Buffet, Peter Lynch, Bill Gross, and Barton Biggs are just a few of the more famous names on Wall Street. They each have different methods, but they do share some things in common. They are successful because they are disciplined and consistent in their methods. I respect that in them. They would not necessarily agree with my style of investing, but they would respect the discipline and the results.
Years ago, when I was running my own brokerage firm, an opportunity was presented for me to hire a gentleman who possessed a PhD. He was a great guy whom I liked very much, but unfortunately, the relationship didn't work out for either of us.
Shortly after I retained his services, I excitedly told my mentor and best client of what I thought was a hiring coup for my company. His silence let me know he wasn't impressed. About two weeks later, I received a plain manilla envelope from him containing a photocopy of an essay entitled, "From the Garden." It was written in the 1930's about the great economist, John Maynard Keynes. In London during this period a group of very smart and well-connected financiers had convinced Keynes to manage a public fund that they would market. His stellar reputation and credentials would surely bring in many clients, and high fees would flow to these organizers and Keynes. It never occurred to them that Keynes couldn't manage money. During a short period of time, the value of the assets garnered by these individuals and entrusted to Keynes dwindled away. He was quietly removed from the management of the portfolio and returned to his proper role as an economist.
The bottom line: Keynes didn't have the stomach for trading and wasn't able to pull the trigger.
How does the ETF Digest determine its Market signals?
The ETF Digest studies markets from a technical chart perspective trying to identify and invest in emerging market trends. This is done through a careful analysis of "daily", "weekly" and "monthly" charts of indexes and related ETFs or securities.
Our focus is to identify trends that may prove long-lasting and profitable.
Our objective is to make “two-thirds” of long-term market trends.
Our trade methodology is as follows: