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 6 Benefits Of Receiving Full Nutrition

It seems as though everyone is concerned about their diets; what they eat, why they shouldn’t eat other foods, and what full nutrition really is. It is not surprising really as statistics show that inactivity and unhealthy eating contribute to over 300,000 deaths every year in the United States. The high saturated fat, sugar, sodium and low in fruits, veggies, calcium and fiber diets are very unhealthy and increase risks of several diseases. The body therefore requires a diet rich in fruits, vegetables, calcium, whole gains and fiber. Read on and discover more on the importance of proper nutrition for a healthy lifestyle.1. Muscle-tissue building and maintenance
Having full nutrition is vital in helping foster the growth of body lean muscle tissues and helps in its maintenance. The body’s muscle mass is such an incredibly energy-demanding tissue, meaning that, the more you have, the higher the body’s metabolism. There is no better way of weight management than body muscle mass building as far as a healthy weight is concerned. Proper nutrition allows you all this, and in addition, if you succeed in building more body muscles and maintain your weight, you will be in a position to avoid all other sorts of diseases related to obesity.2. Reduced Health Risks associated with diets
Proper full nutrition means a balanced-diet that includes a variety of healthy foods. Researchers have gone ahead and provided suggestions and guides to the best foods; “food pyramid” that entails grains, cheese, meat, vegetables, grains, fruits, oils and beans that provide all nutrients and vitamins the body requires. These should however be taken at appropriate and equal amounts from each of the food-group every day. With the right diet that provides good nutrition therefore, you can reduce the risks of certain health problems. Such health issues include high blood pressure, high body cholesterol, type 2-diabetes, heart disease, several types of cancer and stroke among other problems that are associated with improper nutrition.3. Enhances Your Immune System
A full nutrition diet helps in enhancing your immune system and this prevents you from frequent short illnesses. Every day, you come across a number of stressors, from your work place, to exercise-stress to financial stress, all these take a toll on the immune system of your body. Through feeding your body’s immune system with high quality nutrients you will definitely ensure that it stays strong and makes you feel much better every day. Veggies and fruits are especially very vital for your immune system health, be sure therefore to load-up these in your diet.4. Little Helpers of the body
Adequate full nutrition acts as helpers of the body. The body requires minerals and vitamins but in small quantities only. These function as co-enzymes meaning that they help a lot with chemical reactions. For instance, Vitamin B complex is important in burning carbohydrates; the body’s source of energy. Vitamin A is needed for good vision and Vitamin C helps to keep connective body tissues strong and the immune system functioning. Minerals such as Zinc contribute to metabolic processes. Healthy balanced diets provide the body with lots of minerals and vitamins, therefore, your diet should have adequate quantities of these body helpers.5. Manage Weight
Good nutrition is paramount in body weight management. While the quality of foods in your diet is important, the quantity matters also. To avoid weight gain, or to shed off some pounds, then choose the kind of foods that is low in fats, especially saturated fat. According to nutrition specialists, one extra gram of fat adds about 9calories to your food diet. Choosing low fat meats veggies and fruits keep the calories count down in the body. You can even reduce calories further in the body by limiting yourself to less drinks and snacks as well that are loaded with lots of sugar.6. Improve general health
Apart from lowering your vulnerability to several serious medical problems, maintaining full nutrition has a lot of other health benefits. Nutrition specialists explain that one has more energy and is able to delay aging effects and maintains a healthy skin by having proper nutrition. In addition to this, other benefits include healthy teeth and disease resistance.Giving your body full nutrition is a vital element in leading a healthy lifestyle and its importance is unquestionable. In fact, nutritionists agree that the formula for a healthy and fit body is; 10% exercise, 10%genetics and 80% nutrition. You cannot control the genetics, but you surely can control the 90%.

4‌ ‌Digital‌ ‌Marketing‌ ‌Strategies‌ ‌for‌ ‌Small‌ ‌Businesses‌ ‌

Why Digital Marketing?
Nowadays lack of online presence can kill the business growth and hammered your business badly. With the increasing number of internet users and the number of online searches for services, online presence becomes the need of every business. But all businesses, especially small ones can not afford to hire an agency for online marketing services. So, here we will discuss 4 budget-friendly digital marketing strategies that can be implemented on your own.

Digital Marketing tips for small business
First, identify

What is the demographic base of your customer?
Which online platform uses search for products similar to your products?
What do your competitors offer to users?
What is your budget for online advertisement?
Answers of these questions help you to build and implement digital marketing strategies more effectively.

Digital Marketing Strategies for Small Businesses
Google My Business
Google My Business is one of the powerful digital marketing tools for small and local businesses. Ranking in Google My Business listing improves your business online visibility and sale. If you are running a business that targets the local people then Google My Business is the first tool of your list to make an impact on online searches.

For example, if user search for “digital marketing training institute in Mumbai”, Google shown result as,

Google My Business
Google My Business not only helps users with businesses related to the search query but also guides them with maps to reach at particular locations and provide contact information for the businesses.

GMB is the best way to gain online visibility and credibility for the business in a short period of time. If you are running a local business then It should be top in your list.

How to optimize GNB profile and rank your business
Fill up all details of your business.
Include Keywords in business title and description.
Update your business opening hours accurately.
Update your business location correctly.
Add photos as much as you can.
Manage and respond to customer reviews.
Let users contact or message you.
Add a local post regularly.
Add product catalogue for the users.
Remember, your business listing ranking will be improved when you get the good reviews and update the post regularly. Google My Business listing is absolutely free of cost service from Google.

Facebook Marketing
Facebook advertising is also a great option to reach more people and improve your business social presence. Facebook marketing can be done in two ways, either organically or paid advertising.

What is Organic posting:
Facebook organic posting means creating user interested content regularly and posting it on your Facebook business page in order to gain more followers and likes to your business page. Though organic posting takes more time to get the result, consistency and patience are important to get good and long term results for your business. You can also add offers on your business page inorder to get more visibility and user engagement.

Paid Advertisement:
Facebook paid marketing
Facebook paid advertising is widely used by many small and medium businesses to get the result instantly. With Paid advertising you can select which area and interest of people want to display your ad. Based on your ad objectives the cost will vary for advertisement. For lead generation campaigns cost be higher compared to the awareness and reach campaign.

Facebook paid advertising is marked as a “Sponsored” post when showing for the targeted audience. You need to create the Facebook ad account in order to start with Facebook paid advertisement.

Facebook paid advertising helps businesses to reach more users in a short time, with targeting to specific location, gender and age groups but it is bit costly service for local small businesses.

Google AdWords
There are thousands of search queries made on Google every second. No other advertising option has the potential to get the quick and good result for your business than the Google Adwords.

Google Adwords is like the Good father of all online marketing strategies. For a long time it’s competitive, it’s expensive yet to be an effective online marketing strategy. Adwords goal is to deliver the relevant search results for the queries and it will be less expensive when you set it up and optimize properly. Adding negative keywords and a detailed audience can help you to get a good click through rate.

The question is, how does it work?

Adwords display your ad for the query searched related to your product or keyword you mention. These results are shown at the top of search engines and at the bottom as well. When a user clicks on your ad then the amount will be debited from your ad spent whether the user goes with your service or not. That’s why right targeting and optimization of campaigns is important.

How to Set up a result driven AdWords campaign?
Map your campaign strategy.
Targeting the right keywords.
Targeting the right audience.
Check competition of keywords.
Competitors analysis to build result driven ad copy.
Optimize your campaign for the best time of search.
Search Engine Optimization
Search engine optimization is a long process and it takes time but once you rank for the particular keywords then the result will be given for a long time. Search engine optimization is not instant result and it needs knowledge of search engine and Google algorithms, how it works? That’s the reason businesses go with consultants to search engine optimization strategy.

SEO
SEO means ranking for the search query on top of the search engine results. When users search for any queries, they hardly check the first page of the search result. So it is important to rank on at least the first page for the relevant queries. Ranking is dependent on the search volume and competition of keywords. Large search volume and high competition keywords are difficult to rank and it takes more time.

Takeaway
These are the commonly used digital marketing strategies to improve the online visibility of the business. Based on your business type, the user can go with the strategy which is best for his business and give them a good result. For small and local businesses Google My Business and Organic posting on social media is the best strategy to go with.