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SPDN: An Inexpensive Way To Profit When The S&P 500 Falls

Summary
SPDN is not the largest or oldest way to short the S&P 500, but it’s a solid choice.
This ETF uses a variety of financial instruments to target a return opposite that of the S&P 500 Index.
SPDN’s 0.49% Expense Ratio is nearly half that of the larger, longer-tenured -1x Inverse S&P 500 ETF.
Details aside, the potential continuation of the equity bear market makes single-inverse ETFs an investment segment investor should be familiar with.
We rate SPDN a Strong Buy because we believe the risks of a continued bear market greatly outweigh the possibility of a quick return to a bull market.
Put a gear stick into R position, (Reverse).
Birdlkportfolio

By Rob Isbitts

Summary
The S&P 500 is in a bear market, and we don’t see a quick-fix. Many investors assume the only way to navigate a potentially long-term bear market is to hide in cash, day-trade or “just hang in there” while the bear takes their retirement nest egg.

The Direxion Daily S&P 500® Bear 1X ETF (NYSEARCA:SPDN) is one of a class of single-inverse ETFs that allow investors to profit from down moves in the stock market.

SPDN is an unleveraged, liquid, low-cost way to either try to hedge an equity portfolio, profit from a decline in the S&P 500, or both. We rate it a Strong Buy, given our concern about the intermediate-term outlook for the global equity market.

Strategy
SPDN keeps it simple. If the S&P 500 goes up by X%, it should go down by X%. The opposite is also expected.

Proprietary ETF Grades
Offense/Defense: Defense

Segment: Inverse Equity

Sub-Segment: Inverse S&P 500

Correlation (vs. S&P 500): Very High (inverse)

Expected Volatility (vs. S&P 500): Similar (but opposite)

Holding Analysis
SPDN does not rely on shorting individual stocks in the S&P 500. Instead, the managers typically use a combination of futures, swaps and other derivative instruments to create a portfolio that consistently aims to deliver the opposite of what the S&P 500 does.

Strengths
SPDN is a fairly “no-frills” way to do what many investors probably wished they could do during the first 9 months of 2022 and in past bear markets: find something that goes up when the “market” goes down. After all, bonds are not the answer they used to be, commodities like gold have, shall we say, lost their luster. And moving to cash creates the issue of making two correct timing decisions, when to get in and when to get out. SPDN and its single-inverse ETF brethren offer a liquid tool to use in a variety of ways, depending on what a particular investor wants to achieve.

Weaknesses
The weakness of any inverse ETF is that it does the opposite of what the market does, when the market goes up. So, even in bear markets when the broader market trend is down, sharp bear market rallies (or any rallies for that matter) in the S&P 500 will cause SPDN to drop as much as the market goes up.

Opportunities
While inverse ETFs have a reputation in some circles as nothing more than day-trading vehicles, our own experience with them is, pardon the pun, exactly the opposite! We encourage investors to try to better-understand single inverse ETFs like SPDN. While traders tend to gravitate to leveraged inverse ETFs (which actually are day-trading tools), we believe that in an extended bear market, SPDN and its ilk could be a game-saver for many portfolios.

Threats
SPDN and most other single inverse ETFs are vulnerable to a sustained rise in the price of the index it aims to deliver the inverse of. But that threat of loss in a rising market means that when an investor considers SPDN, they should also have a game plan for how and when they will deploy this unique portfolio weapon.

Proprietary Technical Ratings
Short-Term Rating (next 3 months): Strong Buy

Long-Term Rating (next 12 months): Buy

Conclusions
ETF Quality Opinion
SPDN does what it aims to do, and has done so for over 6 years now. For a while, it was largely-ignored, given the existence of a similar ETF that has been around much longer. But the more tenured SPDN has become, the more attractive it looks as an alternative.

ETF Investment Opinion

SPDN is rated Strong Buy because the S&P 500 continues to look as vulnerable to further decline. And, while the market bottomed in mid-June, rallied, then waffled since that time, our proprietary macro market indicators all point to much greater risk of a major decline from this level than a fast return to bull market glory. Thus, SPDN is at best a way to exploit and attack the bear, and at worst a hedge on an otherwise equity-laden portfolio.

The Benefits of Fitness: How Exercise Helps with Mental Health

Mental health is something that is often discussed, but not always understood. It is not a single state but rather a combination of different factors. Mental health can range from how we manage stress to the balance between our rational and irrational thinking. Not everyone has perfect mental health, but with time and effort it can be improved. The positive effects of exercise on our physical wellbeing are well-documented, so much so that many now recognize the benefits of fitness on mental health as well. Athletic activities have many positive effects on your brain and general wellbeing, which is why adding some form of exercise to your weekly routine is recommended for maintaining optimum mental health. Keeping active has been scientifically proven to improve concentration, memory, learning capacity, and problem solving skills.

See why people prefer to use this Keto Meal Plan and Diet System to increase their fitness benefits even when they don’t have time to exercise, allowing them to lose 5KGs every month. (Click https://www.digistore24.com/redir/283755/TrippinKZN/ to watch the video)

Understanding Mental Health

Mental health is a broad term that refers to our psychological wellbeing. Stress, mood, and anxiety levels, as well as our ability to handle daily stressesors, are all indicators of our mental health. A mental disorder is a condition that disrupts a person’s ability to function normally. These disorders can be mild or severe, and can affect people of all ages, genders, ethnicities, and socioeconomic groups. There are many factors that can impact mental health. Genetics, environment, and life experiences can all contribute to how we view and manage stress, our emotional state, and our ability to cope with challenging situations.

How Exercise Helps Mental Health

Exercise is commonly associated with improvements to physical health, such as boosting the immune system and strengthening muscles. Exercise is also a great tool for improving mental health and cognition. When we exercise, our bodies produce substances called endorphins. These endorphins are chemicals that are responsible for feelings of euphoria and relaxation. When endorphins are released, they block pain receptors and have a calming effect. Exercise also helps us sleep better, another important factor in maintaining good mental health. It is important to remember that not all exercise is created equally. In order to reap the full benefits of exercise on your mental health, you need to be doing enough activity to get your heart rate up and truly break a sweat.

Exercise and Depression

Exercise has been proven to reduce symptoms of depression. This mental disorder is characterized by feelings of sadness, irritability, and a reduction in interest or pleasure in activities that were previously enjoyed. Some of the biological explanations for how exercise can help a depressed person include an increase in certain neurotransmitters, such as serotonin and dopamine, that are known to affect mood. Physical activity also helps to regulate the hypothalamic-pituitary-adrenal axis which is the connection between physical and mental stress. By doing so, exercise combats the harmful effects of cortisol, the hormone released when we are stressed. It also increases endorphin and serotonin levels. The serotonin in particular is thought to improve mood and alleviate depression and anxiety.

Exercise and Anxiety

Another mental illness that can be alleviated with consistent exercise is anxiety. What causes anxiety varies from person to person. However, there are common themes, such as a fear of the future, or a concern for the safety and wellbeing of loved ones. Exercise is an excellent way to tackle anxiety. It’s important to note that exercise cannot cure anxiety; however, it can help to reduce its symptoms. When you are experiencing the physical symptoms of anxiety, such as a racing heart rate or dizziness, exercise can be an outlet to “let off steam”. It also releases endorphins which can help to calm you down. Exercise also improves the way your body functions, including your cardiovascular and endocrine systems. This allows you to better handle daily stressors, which can reduce anxiety.

Conclusion

Exercise and mental health go hand in hand. The benefits of fitness include increased feelings of self-love and self-worth, improved functionality, sleep quality, and a reduction in the symptoms of several mental illnesses. The most important thing to remember while trying to improve your mental health with exercise is that consistency is key. You won’t see results if you don’t make time for it. Keep track of your progress and make adjustments as needed to keep your routine healthy and effective. Above all, remember that you are worth the effort.

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Shoe Repairs And Several Other Things When I Was 7

Shoe Repairs And Several Other Things When I Was 7
My Dad repaired most of our shoes believe it or not, I can hardly believe it myself now. With 7 pairs of shoes always needing repairs I think he was quite clever to learn how to “Keep us in shoe Leather” to coin a phrase!

He bought several different sizes of cast iron cobbler’s “lasts”. Last, the old English “Laest” meaning footprint. Lasts were holding devices shaped like a human foot. I have no idea where he would have bought the shoe leather. Only that it was a beautiful creamy, shiny colour and the smell was lovely.

But I do remember our shoes turned upside down on and fitted into these lasts, my Dad cutting the leather around the shape of the shoe, and then hammering nails, into the leather shape. Sometimes we’d feel one or 2 of those nails poking through the insides of our shoes, but our dad always fixed it.

Hiking and Swimming Galas
Dad was a very outdoorsy type, unlike my mother, who was probably too busy indoors. She also enjoyed the peace and quiet when he took us off for the day!

Anyway, he often took us hiking in the mountains where we’d have a picnic of sandwiches and flasks of tea. And more often than not we went by steam train.

We loved poking our heads out of the window until our eyes hurt like mad from a blast of soot blowing back from the engine. But sore, bloodshot eyes never dampened our enthusiasm.

Dad was an avid swimmer and water polo player, and he used to take us to swimming galas, as they were called back then. He often took part in these galas. And again we always travelled by steam train.

Rowing Over To Ireland’s Eye
That’s what we did back then, we had to go by rowboat, the only way to get to Ireland’s eye, which is 15 minutes from mainland Howth. From there we could see Malahide, Lambay Island and Howth Head of course. These days you can take a Round Trip Cruise on a small cruise ship!

But we thoroughly enjoyed rowing and once there we couldn’t wait to climb the rocks, and have a swim. We picnicked and watched the friendly seals doing their thing and showing off.

Not to mention all kinds of birdlife including the Puffin.The Martello Tower was also interesting but a bit dangerous to attempt entering. I’m getting lost in the past as I write, and have to drag myself back to the present.

Fun Outings with The camera Club
Dad was also a very keen amateur photographer, and was a member of a camera Club. There were many Sunday photography outings and along with us came other kids of the members of the club.

And we always had great fun while the adults busied themselves taking photos of everything and anything, it seemed to us. Dad was so serious about his photography that he set up a dark room where he developed and printed his photographs.

All black and white at the time. He and his camera club entered many of their favourites in exhibitions throughout Europe. I’m quite proud to say that many cups and medals were won by Dad. They have been shared amongst all his grandchildren which I find quite special.

He liked taking portraits of us kids too, mostly when we were in a state of untidiness, usually during play. Dad always preferred the natural look of messy hair and clothes in the photos of his children.

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