30 Dec

Research Reveals The Best Hedge Funds Get In And Get Out

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The Jason Bond Picks swing trading portfolio is +77.7% in 2013 +$238,380, not a bad year for a former elementary education teacher.

More importantly, now studies show the best hedge funds trade similar to what I teach my clients here at Jason Bond Picks.

A study to be presented by a University of Kentucky professor shows the best hedge funds get in and get out.

Bloomberg reports that finance professor Russel Jame’s study has found that the top 30% of hedge funds outperform by making short term, contrarian bets.

It also finds that 25% of a fund’s annual performance occurs a month after a big winning trade.

In other words — when they score. They score big.

From Bloomberg:

The winning funds are net buyers of so-called growth stocks, which are those of companies whose earnings are forecast to grow faster than the market average. They also don’t trade more frequently or more profitably prior to corporate earnings’ announcements, undermining any idea that insider trading explains how they make profits.

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