April 4, 2025: We recommend the following change…

While the Model Fund Portfolio is already well positioned for the current volatility, we are taking another incremental defensive step in our disciplined approach to managing risk.

Sell the 3% Invesco S&P 500 Equal Weight Technology position (symbol: RSPT). Our position in this equal weight technology fund initially gave us a lower risk exposure to the tech sector. However, this holding has broken all support levels of the last nine months and technology is historically one of the most vulnerable sectors in a downturn.

The Model Fund Portfolio now has a net “long” position of 55%. Current holdings include 58% quality ETFs, 3% in an inverse-index (bear) fund, and 39% cash. The cash portion of the Portfolio (39%) is held in short-term Treasurys or a money market fund.