Thursday, January 8, 2009

What to invest in.

So, you follow The Seasonal Investor's blog. You can see the market in and out dates on the right. But what do you invest in?

Well, The Seasonal Investor knows that you should be diversified. This methodology is for investing in equities. What The Seasonal Investor does is to invest his equity investment funds in Spiders (NYSE: SPY). That in and of itself is a diversified portfolio of 500 stocks in a variety of industries. It also tracks the S&P 500 Index closely. Since the methodology is based off of the changes in the S&P 500 and DJIA Indices, investing in SPYs allows for the greatest correlation between the methodology and The Seasonal Investor's investments.

Is this the only way to use The Seasonal Investor's information? No. But it is the one that The Seasonal Investor has chosen.

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