Trim 14/12/2023
Short Nasdaq ETF (SNAS)
*** GENERAL ADVICE ONLY ***
Description
Industry: Short ETF Hedge
Trade
Allocation: 3.5% Entry: $2.43 (4th July)
Recommendation to Trim: 1.5% at $2.03 (-16.4%)
Catalyst
The Nasdaq hedge is unlikely to work over the short-term as the thesis of the rate hiking cycle being finished will give equity markets no resistance to the upside
While we maintain that the lagging effect of higher interest rates will still hurt the equity market at some stage, the historical occurrence of a “Christmas Rally” being 70% makes holding onto the full allocation not appropriate
Disclaimer: The recommendation given is general advice only. It does not take into account your personal objectives, financial situation, or specific needs. This information should not be your sole resource when making such decisions. We strongly recommend you to seek the advice of financial, taxation, and legal professionals before finalising any investment decisions.