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HCM Defender 100 Index ETF has an interesting methodology that aims to replicate the returns of the Nasdaq and transition to a more conservative stance when signals turn bearish. QQH's structure is driven by active management using trend analysis, automatically switching to lower-risk instruments in a risk-off environment. The fund's performance has been closely aligned with the Nasdaq, with notable outperformance in 2021, but it is susceptible to the risks of the tech sector.
The HCM Defender 100 is an innovative ETF that uses a proprietary quant signal to determine its allocation between equities and cash. The fund switches its allocation based on a proprietary trend signal, alternating between a 100% Nasdaq allocation and 100% in cash at the other extreme, with blended levels in-between. The fund is overweight in mega-cap tech stocks and has performed in line with the Nasdaq this year being up over 41%.
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