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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.

What Are The Greatest Changes In Shopping In Your Lifetime

What are the greatest changes in shopping in your lifetime? So asked my 9 year old grandson.

As I thought of the question the local Green Grocer came to mind. Because that is what the greatest change in shopping in my lifetime is.

That was the first place to start with the question of what are the greatest changes in shopping in your lifetime.

Our local green grocer was the most important change in shopping in my lifetime. Beside him was our butcher, a hairdresser and a chemist.

Looking back, we were well catered for as we had quite a few in our suburb. And yes, the greatest changes in shopping in my lifetime were with the small family owned businesses.

Entertainment While Shopping Has Changed
Buying butter was an entertainment in itself.
My sister and I often had to go to a favourite family grocer close by. We were always polite as we asked for a pound or two of butter and other small items.

Out came a big block of wet butter wrapped in grease-proof paper. Brought from the back of the shop, placed on a huge counter top and included two grooved pates.

That was a big change in our shopping in my lifetime… you don’t come across butter bashing nowadays.

Our old friendly Mr. Mahon with the moustache, would cut a square of butter. Lift it to another piece of greaseproof paper with his pates. On it went to the weighing scales, a bit sliced off or added here and there.

Our old grocer would then bash it with gusto, turning it over and over. Upside down and sideways it went, so that it had grooves from the pates, splashes going everywhere, including our faces.

My sister and I thought this was great fun and it always cracked us up. We loved it, as we loved Mahon’s, on the corner, our very favourite grocery shop.

Grocery Shopping
Further afield, we often had to go to another of my mother’s favourite, not so local, green grocer’s. Mr. McKessie, ( spelt phonetically) would take our list, gather the groceries and put them all in a big cardboard box.

And because we were good customers he always delivered them to our house free of charge. But he wasn’t nearly as much fun as old Mr. Mahon. Even so, he was a nice man.

All Things Fresh
So there were very many common services such as home deliveries like:

• Farm eggs

• Fresh vegetables

• Cow’s milk

• Freshly baked bread

• Coal for our open fires

Delivery Services
A man used to come to our house a couple of times a week with farm fresh eggs.

Another used to come every day with fresh vegetables, although my father loved growing his own.

Our milk, topped with beautiful cream, was delivered to our doorstep every single morning.

Unbelievably, come think of it now, our bread came to us in a huge van driven by our “bread-man” named Jerry who became a family friend.

My parents always invited Jerry and his wife to their parties, and there were many during the summer months. Kids and adults all thoroughly enjoyed these times. Alcohol was never included, my parents were teetotallers. Lemonade was a treat, with home made sandwiches and cakes.

The coal-man was another who delivered bags of coal for our open fires. I can still see his sooty face under his tweed cap but I can’t remember his name. We knew them all by name but most of them escape me now.

Mr. Higgins, a service man from the Hoover Company always came to our house to replace our old vacuum cleaner with an updated model.

Our insurance company even sent a man to collect the weekly premium.

People then only paid for their shopping with cash. This in itself has been a huge change in shopping in my lifetime.

In some department stores there was a system whereby the money from the cash registers was transported in a small cylinder on a moving wire track to the central office.

Some Of The Bigger Changes
Some of the bigger changes in shopping were the opening of supermarkets.

• Supermarkets replaced many individual smaller grocery shops. Cash and bank cheques have given way to credit and key cards.

• Internet shopping… the latest trend, but in many minds, doing more harm, to book shops.

• Not many written shopping lists, because mobile phones have taken over.

On a more optimistic note, I hear that book shops are popular again after a decline.

Personal Service Has Most Definitely Changed
So, no one really has to leave home, to purchase almost anything, technology makes it so easy to do online.
And we have a much bigger range of products now, to choose from, and credit cards have given us the greatest ease of payment.

We have longer shopping hours, and weekend shopping. But we have lost the personal service that we oldies had taken for granted and also appreciated.

Because of their frenetic lifestyles, I have heard people say they find shopping very stressful, that is grocery shopping. I’m sure it is when you have to dash home and cook dinner after a days work. I often think there has to be a better, less stressful way.

My mother had the best of both worlds, in the services she had at her disposal. With a full time job looking after 9 people, 7 children plus her and my dad, she was very lucky. Lucky too that she did not have 2 jobs.

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Natural Skin Care And Beauty – The Steps You Need To Know

With everything going green these days, natural skin care has never been more popular. Skin care companies are adding natural based products to their product offerings. Most any beauty store you pass has natural skin care products in the window. However, true natural skin care is more than using just natural products or homemade skin care remedies. It is a lifestyle routine.Natural skin care is natural beauty and vice versa. However, it is affected by more than what you put on your skin and if that product is natural. Practicing natural skin care involves a lifestyle that practices healthy habits all the time. If you eat a poor diet, never exercise and smoke, then there is not product natural or otherwise that is going to keep your skin young and healthy. The most important factor for maintaining a beautiful complexion starts from the inside. In other words, natural beauty is more than skin deep.Six Factors That Can Influence the Way Your Skin Looks
Diet: What you put. It is just as important as any product you could put on your skin. A balanced diet rich in vegetables and fruits, low in sugar, low in bad fats, rich in calcium and plenty of water, will do more to keep you a natural beauty than any store bought product.

Physical Activity and Proper Sleep: Exercise is great for the skin. It promotes good blood flow to the dermis and brings more oxygen to the skin. On the flip side, getting enough sleep is just as necessary for beautiful skin especially as we age. An average adult should get 8 to 9 hours of sleep when possible.

Environment: The outside and inside environment in which you spend your days can affect your skin in many ways. The sun being the most obvious. UVA/UVB rays can do lots of damage to our skin down to the deeper collagen layers. With all the great sun protection choices available, there is no reason not to protect your skin. Wind can dry and chap your skin and smog can leave a thin layer of dirt on your skin; so make sure you moisturize and keep your skin clean. Even air-conditioning and heating can affect the health of your skin.

Heredity: Great skin or skin problems can run in the family. If you get a beautiful complexion from your grandmother, don’t take it for granted. Your skin will still need proper care. The same goes for skin problems. Do not feel like there is nothing you can do. Following the recommendations here and finding a good skin care system can improve or totally alleviate these problems.

Stress: Avoid stress as much as possible. Too much stress can adversely affect your total health including how your skin looks. Practicing natural skin care includes reducing or eliminating stress from your life.

Medications: Certain medications can affect your skin, sometimes resulting in rashes, dry skin or acne. Always consult your doctor if you are taking medications that seem to be changing your skin. Hormonal medications and some antibiotics are examples.
Other tips for a natural skin care lifestyle are:1. Give your body a dry brush exfoliation.Dry brush exfoliation removes dead skin cells and helps to detoxify your skin. Dry brushing also improves lymph and blood circulation. The gentle brushing is also relaxing for your nerves and can help decrease puffiness.2. Try to avoid sugar overload in your diet.Eating sugar is considered one of the major causes of premature aging. Too much sugar in the bloodstream can cause a process to happen known as glycation. Glycation is when a glucose (sugar) molecule attaches to a protein molecule. When this happens, the protein molecule is damaged and a new molecule is formed and is called advanced glycation end-products or AGE’s. AGE’s damage collagen in the skin, cartilage, and ligaments and causes a loss of elasticity. This causes sagging and wrinkles.3. Keep things moving.A sluggish circulation affects your skin by leaving it starved for nutrients. Inactivity can leave you bloated, puffy, increase acne, and encourage cellulite. So if you have a job that leaves you sitting all the time, it is very important to use your breaks and get moving. Talk a couple laps around the office. Join a gym. Get outside on the weekends. Good circulation will improve your skin and your whole body.4. Rev Up Your DigestionA good running digestive system is good for your skin and total well being. People with skin problems often suffer from digestive problems like constipation or an imbalance of good and bad bacteria.To rev up your digestion, try to drink enough water. Water keeps things moving through the colon which is always important. Then make sure to eat enough fiber in your daily diet. In 2002, the National Academy of Sciences Food and Nutrition Board recommended that women, aged 19 to 50 years, need 25 grams of fiber daily and over age 50, 21 grams of fiber. For men, aged 19 to 50 years, 38 grams of fiber is recommended. Men over 50 years, need to include 31 grams of fiber in their diet.To add fiber to your diet, make sure to include whole grain products, cauliflower, apples with skin, nuts and seeds, prunes, bean, legumes and ground flax seed.5. Eat Good FatsGood fats are the essential fatty acids like omega-3 and omega-6. Your body cannot live without these essential fatty acids. EFA’s are needed to make cell membranes, hormones, and other body chemicals. They protect your heart and fight inflammation. EFA’s can help people with dry skin, acne and eczema. Essential fatty acids can be found in cold water fish like salmon or sardines, flaxseed oil, walnut oil, and supplements.A few more steps that you should include in your natural skin care and beauty system are:
Brush your teeth after every meal

Pamper yourself with a weekly facial or steam

Treat yourself to a monthly or more total body treatment

Always protect your skin from the sun and elements

Use natural skin care products

Be happy and confident! A smiling face always shows your inner beauty.
For more skin care advice, please visit Better-Skin-Care.com

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