Portfolio Management Strategy For Risky Sectors

March 9, 2018

Jordan Roy-Byrne and I usually chat about the technical factors at play in the metals sectors. However this segment we discuss how Jordan likes to build and manage a portfolio of small cap stocks (in this case resource stocks). We share the factors we think are key in our personal portfolios for stocks that are winners and losers.

This is a longer than usual discussion but there was a lot to cover. That being said please share your suggestions on any rules you follow for your portfolio.

Click download link to listen on this device: Download Show

Click here to visit Jordan’s website for more of his commentary.

    Mar 09, 2018 09:23 AM

    Poisoned Russian Spy Linked To Christopher Steele

    “Col Skripal, 66, was still working, and remained in regular contact with military intelligence officers at the Russian embassy” claims a Russian construction magnate.

    Mar 09, 2018 09:27 AM
      Mar 09, 2018 09:40 AM

      Zero-hedge is clearly considerably out-of-date…..the US cannot be the “Savior of the world”.
      It would have a great difficulty in even avhieving MAD, Mutually Assured Destruction, against Russia. The stupid policy and efforts of the treacherous President Obama (or did he deliberatedly and traitorously degrade American defense) have left the US vunerable to a first strike by Russia.

      Here is the stated current defense posture: (73 page summary)

      But I will post 2 discussions of the actual Russian vs. Russia capability, following this.

      Mar 09, 2018 09:45 AM

      CFS………the article does not say that……”the US cannot be the “Savior of the world”.

        Mar 09, 2018 09:48 AM

        It is talking about Presidents becoming potential DICTATORS, since, WE THE PEOPLE have been asleep at the switch,

          Mar 09, 2018 09:52 AM

          Although the Constitution invests the President with very specific, limited powers, in recent years, American presidents (Trump, Obama, Bush, Clinton, etc.) have claimed the power to completely and almost unilaterally alter the landscape of this country for good or for ill.

          The powers amassed by each successive president through the negligence of Congress and the courts—powers which add up to a toolbox of terror for an imperial ruler—empower whomever occupies the Oval Office to act as a dictator, above the law and beyond any real accountability.

          The presidency itself has become an imperial one with permanent powers.

          Mar 09, 2018 09:50 AM

          The sheeple have been asleep at the switch for so long that they are now incapable of understanding how far gone their nation’s guiding principals are. How many understand that “voting is the illusion of influence in exchange for the loss of freedom”? (Frank Karsten)

            Mar 09, 2018 09:58 AM

            Yes, I agree

            Mar 09, 2018 09:15 AM

            Beyond Democracy is a must-read, btw.

            Mar 09, 2018 09:21 AM

            Beyond Democracy is a must-read, btw.

            Any chance Mr. Big Al Korelin could read this and then interview the authors?

            If not, how about an interview of Matthew? And if not, then how about an interview of OOTB???

            Mar 09, 2018 09:26 AM

            I need to read the book first………sounds like a good book btw

            Mar 09, 2018 09:43 AM

            I just ordered the BOOK…….I will let you know what I think after I read it……OOTB

            Mar 09, 2018 09:02 PM

            Sorry, no interviews for me! 😐

            Mar 09, 2018 09:59 PM

            Humans are yesterdays dinosaurs, they have clearly been unable to adapt to the change they have created. Take the Korean situation,an armistice was signed 65 years ago but The US is unable to negotiate a peace and leave The Korean Peninsula to The Koreans. We live in a World where war divides and destroys but does not allow intelligent reasoning. Our species is too stupid to survive as a dominant life form. DT

            Mar 09, 2018 09:21 PM

            DT…….you are confused……..

            Mar 09, 2018 09:25 PM

            I would agree , there are a lot of stupid people…….

            Mar 09, 2018 09:00 PM

            Jerry, you are in denial if you think our species will last 65 million years like the dinosaurs, homo sapiens or humans have been around maybe a million years, our species is to violent and socially too backwards to see another 100 years without a nuclear Armageddon. Confusion reigns in the minds of people like you who keep pointing out our failings but refuse to see how stubborn we as a species are to the change we have created for ourselves. DT

            Mar 09, 2018 09:31 PM

            Dick……some of you info…….has not been proven……..

            Mar 09, 2018 09:33 PM

            But, I agree, …..things are not going to stay the same.

        Mar 09, 2018 09:53 AM

        No, Zero-Hedge is out of date. I’m saying the US cannot be the savior of the world,….it’s bankrupt.
        AND It cannot even probably save itself…….
        See my posts above.

          Mar 09, 2018 09:58 AM

          I know I’m slightly off topic from what Zero-Hedge was talking about…..I spent years talking about Obama assuming dictatorial powers, now I’m talking about the demise of the US…..end of Empire, etc.
          Does not HAVE to happen, but it will take more than Trump to turn this around.
          All the problems first have to be recognized.

            Mar 09, 2018 09:40 PM

            There is a different between stupidity and ignorance.

            OOTB Jerry, you may not be stupid, but you simply do not understand what a debt Jubilee is or does to society.

            I have told you this several times before over the months, if not years.

            Since most pension funds typically invest about 40% of their portfolios in debt.

            What do imagine happens if 40% of a pension portfolio was set to zero?

            Many corporation park short term money in short term treasuries.

            What do you think if all corporation short term money disappeared?

            Mar 09, 2018 09:15 PM

            Worldly ignorance ……..and a generation of stupidity
            You crack me up professor…..Your pension is safe for a while.
            Pension have assumed and promised to much., to bad for them.
            Pension managers should have studied the Roman Empire,…they would not be in the shape they are in.

          Mar 09, 2018 09:03 AM

          You are totally Wrong………….it is called a DEBT JUBILEE……if, you want us to be a so called JUDEO CHRISTIAN society……..

            Mar 09, 2018 09:06 AM

            Under a DEBT JUBILEE, the citizens are able to declare bankruptcy every 7 years.
            And a NATION……Bankruptcy every 50 Yrs…..Rothechild Ashkenazi jews will not tell you the secret of getting out of bondage according to JEWISH LAW…

            Mar 09, 2018 09:12 AM

            Our Bankruptcy Laws were structured after this concept….of total forgiveness every 7yrs for individuals…..
            Sad part they for got to tell Abe Lincoln the rest of the story……

            Mar 09, 2018 09:30 AM

            Hebrews 13:8 King James Version (KJV)
            8 Jesus Christ the same yesterday, and to day, and for ever.

            Mar 09, 2018 09:04 PM

            A debt Jubilee wipes out the bond market. The debt is gone.


            OOTB, you do not understand what a debt jubilee would do.
            It does not save, it destroys.

            Mar 09, 2018 09:12 PM

            A universal debt Jubilee transfers wealth from the productive, wealthier members of society to the debtors or lessor productive members of society.

            A government debt Jubilee is simply a currency default.
            Look how great that has been for Zimbabwe, Argentina, etc.

            Mar 09, 2018 09:00 PM

            And Who Owns the Bond(bondage)

            Mar 09, 2018 09:05 PM

            And just how did the Bonds come into being……?

            Mar 09, 2018 09:07 PM

            Does the US Treasury have the right to coin it’s OWN money…..and why is it in the constitution?

            Mar 09, 2018 09:22 PM

            Proverbs 22:7
            The rich rules over the poor, and the borrower is the slave of the lender.

            Mar 09, 2018 09:24 PM

            Ezekiel 18:13
            Lends at interest, and takes profit; shall he then live? He shall not live. He has done all these abominations; he shall surely die; his blood shall be upon himself.

            Mar 09, 2018 09:26 PM

            Here is to your wealthy friends….
            Proverbs 28:8
            Whoever multiplies his wealth by interest and profit gathers it for him who is generous to the poor.

            Mar 09, 2018 09:30 PM

            THE DEBT IS IMPOSSIBLE TO REPAY…… this Point…..especially, when the thieves have stolen the money …..IT is NOT A LOAN to the AMERICAN PEOPLE, but, to a Corrupt GOVT>

      Mar 09, 2018 09:17 AM

      That was a funny article by, shilslinger..

    Mar 09, 2018 09:33 AM

    Good listen. Thanks Cory.

      Mar 11, 2018 11:38 PM

      Agreed. This interview with Jordan and Cory was particularly good.

      I really resonated with Jordan’s point on trimming winners when they have achieved one’s targets (based on that individual’s risk tolerance and time horizons). It doesn’t have to necessarily be a “sell half on the double” either, as he pointed out. Personally I typically trim 20-33% on a big move higher, but it depends on what I’m hoping for in a particular stock as some are lottery tickets, some are deep value, some are high torque alpha stocks, and some are slow and steady climbers.

      In addition I agreed with the points made about being over-weight in the names you feel the most confident in, and some of the most speculative/less confident/more risky plays take a smaller position in a basket of them to spread the risk.

      Mar 09, 2018 09:37 AM

      Kenyan Home bound……..or Gitmo…….birth certificate search coming next….jmo

      Mar 09, 2018 09:42 AM

      Picture for the “Q”

    Mar 09, 2018 09:55 AM

    Still on topic, here’s a good macro update from Gary Tanashian with superb charts:

    Mar 09, 2018 09:07 AM

    long GSUM and KURA

    Mar 09, 2018 09:09 AM

    Looks like the beginning of the end is near for South Africa. It’s descent into darkness will be complete.

    Mar 09, 2018 09:52 AM
    Mar 09, 2018 09:53 AM

    Good stuff, Jordan and Cory!
    It’s perfectly fine to be a little late to the party and early to leave. Taking a profit is what it’s all about. The sickest feeling of all is watching a stock go down and sitting on it, only to go down further, and then go down even further..

    If the MACD, slow sto, PMO and TSI roll over on the daily, I’m out no matter how much I like the sector or the stock. Fall in love with nothing financial.

      Mar 09, 2018 09:17 PM

      Chartster – agreed that “taking a profit is what it is all about” and “fall in love with nothing financial.”

      They are just financial instruments for trading, and with resource stocks it is best not to overstay one’s welcome when they have a winning and profitable position.

    Mar 09, 2018 09:40 PM

    $comp new all time highs. The Dow probably isn’t far behind. So much for the top callers. Wrong yet again. Don’t fight the fed.

      Mar 09, 2018 09:23 PM

      $compq that is.

    Mar 09, 2018 09:43 PM

    Commercials back to their shorting position in Au/Ag 3/09

    Mar 09, 2018 09:00 PM

    Look at AMZN go. Almost $1600 now. The trip to $2000 will be short.

    Mar 09, 2018 09:11 PM

    The $indu:gdx ratio is going to break out to new all time highs soon. How demoralizing. But wait, I’m sure someone here is going to tell us how they have made 20,000% trading specific penny stock miners, so it’s doesnt matter.