Bobo the Dart Throwing Monkey's Five Hot ETFs

By Jim Wiandt

Matt Hougan has his ETFR story. But of course Bobo is the ETFR story, and our little monkey is back.

The long-awaited Bobodex 10 ETF family is slated for unveiling.

Bobo the dart-throwing monkey, has been holed up for months, Ferran Adria style, working out the current crisis, and concocting a ferocious game plan for the new millennium. We're not even 10 years in yet, he reminds us. Initially (as those of you who follow ETF industry reports will know) the plan had been to launch only the Bobodex 10 ETF. As Bobo's performance has continued to dazzle, it has become obvious to him and to us that he should do so much more.

And of course you know that more is less.

So we're announcing the pre-launch of the rebalanced Bobodex 10, with the launch of a completely unrelated, uncorrelated Bobodex 5. Like all savvy investors at the moment, Bobo likes nothing more than volatility, which even a savant like Bobo, who while not consciously aware of it intuitively feels is more volatile. And what does volatility mean? Bobo says, AACK EEEE OOO WAAAA OOOWAAAK! (Mo' Money! loosely translated into English).

Indeed, by Bobo's reckoning, if he's made all of his loyal followers a ton of money with the old standard Bobodex 10, he'll make you a ton more with the leaner, turbocharged Bobodex 5. Bobo instructed us to take the 800+ ETFs and ETNs IndexUniverse.com lists in its database as of 10/31/2008, pick the stoopid amped outliers among them (the top 50 and bottom 50 performers of 2008 to date) and use his darts and that insane blindfolded feel he had for ..."WINNER!" to carve out the 95th percentile of nitro-fueled Bobodom.

AND HERE THEY ARE:

• Rydex Inverse X2 Russell 2000 (RRZ) - up 45.58% YTD 2008.
• Ultra Financials ProShares (UYG) - down 75.74% YTD 2008.
• Ultra Russell Midcap Value ProShares (UVU) - down 64.38% YTD 2008.
• First Trust ISE Chindia (FNI) - down 54.99 YTD 2008.
• iShares Dow Jones Insurance (IAK) - down 53.87% YTD 2008.

So Bobo is looking slightly BULLISH on the market at first blush having struck home on 4 LONG ETFs and just one short. Nonetheless, Bobo had never been in the box of any school of thought. "OOOO AAAAA AAAAAA, A OOOHHHH EEEK!" ("Following one investment discipline like momentum investing or contrarian value focus is a fool's game." I believe would be the best translation). Take the top and take the bottom and let the zen master Bobo's Oneness with The Dart do the rest, and you will have a potent cocktail of Phat Dollah that will, as it always has in the past blow away every overpriced active manager and of course The Market by a long, long shot.

So this Turbo 5TM Bobodex® ETF (to come) will be the first of the new Bobodex family and your way to navigate these challenging markets.

With the run Bobo is on, you would be a fool to think that this monkey with his darts is running on blind luck.

Twitter Dee and Twitter Dum

Matt - I've got news for you. No one has any idea what "Twitter" is besides you and Fernando Rivera, and he had to explain it to you. It must, though, have you feeling techie hip. I can tell it from your tone. I checked it in our Wiki and ran it through my Digg after it had popped up on Del.icio.us, though, and it turns out that only fuddy-duds' hearts are pretentiously a' Twitter. The REAL hipsters are using Netscape to read the Internets on their Beta machines running AOL - The Future. Just ask Don Friedman.

Comments

[Mr Treee:]

What did this guy have for breakfast? Floorpolish?
This is one of the MOST discombabulated, senseless, downright comfused brain-production I ever read.

2008 Dec 11 08:46 AM

[basehitz:]

Larry Kudlow needs you.

2008 Dec 11 09:34 PM