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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.

Why Is Search Engine Optimization (SEO) Such A Popular Discussion Topic

Search engine optimization is one of the most discussed and controversial topics on the internet today. Also, it is one of the most misunderstood topics.In its basic form, search engine optimization (SEO) is act of altering a web site so that it does well in the organic, crawler-based listings of search engines.Now even this quick to the point definition of search engine optimization (SEO) can lead to spirited debates about the meaning and purpose of SEO.So the question maybe asked, why is SEO such a popular and controversial topic that causes so much debate within the SEO community and the general internet population particularly website owners? In my humble opinion there are 6 reasons why Search Engine Optimization (SEO) has the popularity that it currently enjoys.1. Targeted Website Traffic – If you ask the vast majority of website owners and people within the SEO industry what is the most important factor to a successful website business and/or operation. A large percentage of the people will say website traffic and even more specifically targeted website traffic.Currently on the internet, the largest resource for targeted website traffic on a continuous bases are search engines. On a yearly bases stats show that around 75% – 80% of all purchases made by individuals on the internet originally started as a result of a search at a search engine and the vast majority of people who visit websites usually come via way of a search engine. Numbers so dominate cannot be ignored even by the biggest opponents of search engine optimization. Moreover, because SEO is focused on optimizing websites for ranking success related to search engines, it is only natural that people would be interested in the field and practice of search engine optimization (SEO).2. SEO Controversy – Search engine optimization (SEO) is one of the most controversial topics concerning internet website operations. The proponents of SEO can say that it provides a viable method for websites to be seen in search engines which is important for any website desiring traffic on the internet today.However, opponents disgusted with SEO can also say that many websites achieve high search engine visibility without the use of SEO work and that SEO professionals only provide guess work high cost services that provide no assurances for search engine ranking success.This situation, which has some merit concerning the arguments on both sides, generates heated debates between proponents of SEO and SEO opponents on a continuous bases which is fought out on a daily bases on forums, blogs, websites and newsletters across the internet along with exposure in magazines and on TV.Simply put controversy produces attention and whether you like it or hate it, SEO really does provide a great deal of controversy. Moreover, as long as search engines play a dominant role in generating targeted website traffic, SEO will continue to be a popular topic.3. Money – Search engine optimization is a multi million-dollar business. Search engines generate billions of dollars each year through advertising. Websites earn billions of dollars for their owners each year via using search engines either through paid advertisements or organic (free) listings in search results.It is no wonder with billions of dollars on the table on a yearly bases that anything that can provide an individual or company a competitive edge in the ultra high pace internet world will be a hot topic for discussion and debate.Moreover, through a combination of perception and reality that highlights search engine optimization as a key to increasing internet sales, search engine optimization is a very popular topic for decision makers within many companies which provides additional attention to SEO in the business world and beyond.4. No Standard SEO Rules or Regulations – Search engine optimization (SEO) can be described as a modern version of the wild wild west. Basically almost anything can be said or done because there are no formal set standards for the industry as a whole.Therefore, in a true sense, no one is really right or wrong concerning any thoughts, comments or decisions concerning SEO techniques and/or methods. Right or wrong is replaced by what is considered ethical by individuals and everyone has a unique set of ethics. What one person might consider unethical someone else might consider completely honest, well intended assistance. This is why you have labels such as white hat and black hat SEO within the SEO industry.5. Search Engines – Search engine optimization was created as a by-product resulting from the development, utilization and popularity of search engines. Without search engines, there is no SEO industry in its current form and format.As statistics on a yearly bases confirm, the majority of the targeted website traffic on the internet is generated directly or indirectly via search engines and a very high percentage of internet sales are directly linked to visitors coming from search engines looking for products and/or services.With the dominant role that search engines play on the internet and the fact that the success of search engines depend on the ability to provide accurate and reliable search results to its visitors, successful search engines tend to develop an informal relationship with the SEO industry.Whereby a certain amount of SEO work on websites tends to help search engines provide what its visitors are looking for which is top-notch search results.For this reason, sometimes search engines will provide SEO information and SEO recommendations to its visitors directly on the search engines. This helps the SEO industry tremendously by placing the industry in the forefront of the main people that are interested in organic (free) search results which are the search engine users looking for something specific and the website owners who want to be found in the search engine results.6. SEO Mystery – Almost no SEO professionals will explain what they do regarding SEO work in detail. Some will provide a little SEO information, which is mainly done as marketing efforts for the SEO professionals in forums, blogs and newsletters. Even the e-books and books that are sold only explain SEO in a general nature. Search engine optimization (SEO) is truly a mystery to the average website owner and/or people interested in organic search engine rankings.This mystery produces a high level of interest regarding the SEO industry and helps feed the popularity of search engine optimization (SEO).

Skin Care Do’s and Don’ts for Perfect Skin

Before the age of 25, you have the skin your mother gave you. After age 25, you have the skin you gave yourself. Evidence for the truth in this skin care mantra can be seen in the faces of women all around you. Up until their mid-twenties, most women enjoy naturally vibrant, glowing skin. As the thirties approach, however, the skin begins to lose its elasticity and suppleness.Fortunately, there are certain preventative measures you can take to keep your skin looking its best. Furthermore, certain products (such as Clarisonic’s deep pore cleansing system) can help you uncover your most radiant skin. Make the skin care dos listed below a part of your daily skin care regiment in order to see radiant skin for decades to come. On the flip side, by avoiding certain harmful skin care no-nos, you can prevent your skin from looking wrinkled and tired as you age.Skin Care DosDo wear sunscreen. Everyone loves to feel the warmth of the sun on their skin, but remember that UV rays can cause wrinkles, sunspots and even skin cancer. Take care of your skin by applying sunscreen whenever you anticipate being out in the sun, even if only for twenty minutes. As a bare minimum, apply sunscreen to the face, chest, neck and hands, as the skin on these areas is generally the most sensitive to UV rays. A product such as Uber Dry Sunscreen SPF30 by Peter Thomas Roths.Do eat healthy foods. Food writer Michael Pollan’s book In Defense of Food advises readers to, “Eat Food. Not too much. Mostly plants.” Pollan’s simple, liberating approach to diet is certainly healthy for your skin as well. Vegetables and fruits are chock full of antioxidants, or special chemical compounds that break down cancer-causing free radicals in the body. Free radicals also cause cell damage to the skin. For healthy skin from the inside out, include colorful vegetables and fruits with every meal, and especially aim to ingest plenty of vitamins C, E, A and beta carotene.Do drink plenty of water. Water flushes out toxins and improves circulation. Drinking 64 ounces (eight glasses) of water every day will keep your skin looking soft and supple. Additionally, it’s good to have a couple of versatile moisturizing products on hand for those days when you know your water levels are low. For instance, after a night of heavy drinking, you might notice your cuticles drying out, causing painful, unsightly hangnails. This is a sign that there may be other areas of dry skin that need a little TLC.Rather than buying a whole shelf of separate moisturizers for occasions like this, it’s best to have a few go-to products that will perk up your skin every time. A product like Smith’s Original Rosebud Salve, for instance, can be applied to dry lips, minor burns and patches of rough skin, such as on the knees and elbows. And best of all, Rosebud Salve is easy to keep on hand for whenever a skin care emergency pops up, since it is packaged in a small, round tin.Do apply eye cream. The skin around your eyes is some of the most sensitive, delicate skin on the entire body. Take care of it (and avoid those telltale crow’s feet!) by applying a daily eye cream. In case you’re looking for a recommendation, check out Peter Thomas Roth’s Un-Wrinkle Eye, which consumer studies have shown reduced wrinkle size up to 72% in just 28 days.Skincare Don’tsDon’t smoke. If you need motivation to quit, just take some time to examine the skin of long-term smokers. Yellow, papery skin with plenty of wrinkles around the lips – this is what smoking will earn you. Quit. Today. Your skin will thank you for years to come.Don’t skimp on moisturizer. Moisturized skin is happy skin. Indeed, you’ll notice that just after applying moisturizer, your skin will naturally plump up – sometimes enough to fill in those pesky wrinkles. Apply moisturizer when your skin is still damp from your shower or bath – this will lock in moisture and keep your skin looking plump and healthy all day long. Body oil is an especially luxurious way to moisturize your skin. Like all oils, Patyka’s Absolis Precious Woods body oil creates a barrier layer that moisture cannot penetrate.Don’t be sporadic about your skincare. Cleanse and moisturize every day to offset the pollution and other toxins your skin is exposed to on a daily basis. Whatever skincare products you choose to apply, use them religiously. An investment of just five minutes in the morning and five minutes in the evening can make a huge difference for your skin over a lifetime.One way to encourage yourself to complete your skin care regimen is to invest in enticing products that make you excited about taking care of yourself. For instance, it’s hard to put off using a Clarisonic Mia skin care brush, when just one daily application of your Clarisonic brush leaves skin looking almost brand new. (The Clarisonic brush vibrates back and forth more than 300 times per second, which thoroughly cleans skin and leaves pores so open that they actually absorb other skin care products better.)In the end, your daily skin care choices will determine how youthful (or aged) you appear as the decades march on. Nurture your skin by following the dos and avoiding the don’ts listed above, and you’ll enjoy perfect, healthy skin well into your golden years.

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