13 Comments

Thanks, Gerardo.

You make some good points. I’m away right now until Monday but I want to be able to give you a thoughtful response. I’ll get back to you early next week.

Thank you for reading.

Mark

Expand full comment

Waiting for your comments Mark ...

Expand full comment

Yes, apologies for the delay. Will send. Thanks.

Expand full comment

We get many ideas during THE CALL

But we don’t have those RISK RANGES

And the DURATION of their holdings (each sector) is different

How do we know WHEN to exit a long their suggesting?

RISK RANGE SIGNALS

We don’t have their TREND level

Sometimes it’s INSIDE the Risk Range

How do we know if in a “down day” it breaks and we should not be adding strongly to that particular ticker?

REAL TIME ALERTS

Keith says most of the times: buy or sell SOME …

But those RTA’s are almost always for individual stocks

How do we know WHEN to close any of those positions if we don’t ever get their Risk Ranges or Trend levels?

INVESTING IDEAS

I get it

But if we do try to follow Keith’s process, we shouldn’t be even looking to those ideas that only get updated once a week

What if something changes TREND any weekday?

Same with ETF’s PRO PLUS LEVELS …

SIGNAL STRENGHT STOCKS

Here I really don’t get it

Does it really help to know HOW MANY DAYS any of those have been bullish/bearish?

How do you use that information/ranking?

When a ticker breaks trend … that’s it … but we don’t get to know it

Each analyst can hold their picks as long as he wants …

Don’t get mw wrong

I love Hedgeye

I think Keith is awesome

Same his process

But I don’t know how we can follow it properly without the missing information I just told you above

I will appreciate your answer back …

Expand full comment

Hi Gerardo.

I think Hedgeye's process and the content they produce is amazing... and imperfect. I believe the reason they don't always provide RRs or trend levels for every idea, RTA, Investing Idea, and Signal Strength Stock is that, as you know, the process is dynamic and always changing so a RR or trend level one day could be different the next. And, as Keith says, he can't hold our hands on everything. We need to use the process in a way that works for us.

I'm not in a position to give advice but I know for me I try to keep it simple by not overtrading and trying to replicate Keith, but by sticking with a handful of Investing Ideas - Newmont, for example, has been on the list for months - and Signal Strength stocks. Last I checked, of the 57 stocks on the list, not including the new additions, only three of them are down. There's a lot of money to be made by buying a handful of stocks that have been on there for a while. Every now and then, Keith will mention a certain stock like THC and say it may break trend. So, those are the little hints we have to look out for depending, of course, on what you subscribe to.

Hedgeye is always innovating their products, as you've probably noticed, so I'm sure they hear from subs like you who want to see improvements and they'll respond.

Certain elements of the products can be frustrating but we have to take what's available and make it work for us.

Hope that helps. Sorry, again for my late response. Thanks for reading.

Mark

Expand full comment

Thanks for your response Mark

Agree

It is really awesome to watch Keith move around every day

Data data data and decision/process

I insist we cannot follow him on all his moves

But we do learn a lot from him and his team every day

Expand full comment

I subscribed to hedgeye for 1 year back in 2020. I subscribed to 3 products: real time alerts, macro show and ETF pro plus. I found the overall experience and products to be confusing: it was information overload for me.

I also don't recall seeing any data detailing objective back-testing of the products over time: for example, what are the return statistics for an investor had they followed ETF pro over a sample time period vs. just buying and holding beta? What were the excess returns? Std dev, sharpe, vol, max DD, etc?

It sounds like you have found a way to make sense of this all, and I wish you the best along your journey

Expand full comment

Thanks, Dan. You raise some valid questions. I'm away right now as I mentioned in my previous post. I'll get back to you early next week.

Expand full comment

Hi Dan.

Apologies it's taken me a while to get back to you.

Agreed that understanding and using the Hedgeye process can take a while to get up to speed. I'm always learning and far from being a power user.

As far as back-tested data, Hedgeye will occasionally show RTA returns and the overall success rate which I believe is in the ~75% range all-time, but don't quote me on that.

As for return stats on ETF Pro, in your example, I don't have a good answer for you. I can try to find out the next time I'm talking to my contact at Hedgeye.

Thanks again for your interest, Dan.

Mark

Expand full comment

Thanks Mark

Expand full comment

How are we doing Mark?

Did you find some answers to my questions?

Expand full comment

Hi Gerardo.

Keith mentioned this morning his all-time "batting" average on +8,000 RTAs is 78%. Let me email my guy right now to see what he says to your question on ETF Pro returns and get back to you.

Mark

Expand full comment

Hi again. Re: my previous reply today, that was intended for another subscriber. I will definitely get back to you this afternoon. I could have sworn I responded to you but evidently did not. Apologies.

Expand full comment