Spy Dividend

Research Portfolio of Finance and Analysis for September 8-12, 2008

From our basic research division of the United States and analysts of U.S. strategy, the following financial analysis excerpts are from revisions recently completed on the investment portfolios based United States:

SCR Step 1 - Analysis: From No. D1 (USA) Financial Portfolio Research Revision

[Vanguard (WGT: MC)] assessment of dividends (VIG) vs. [SPDR (WGT: MC)] S & P 500 (SPY):

(1) Observation - Relative Strength: Results in the analysis of the relative resistance of dividends Appreciation (VIG) with respect to S & P 500 (SPY) indicate that the VIG is increased from neutral (path-cost fixed) SPY a baseline against which is a positive slope. However, this is on a trajectory rather a fixed price. This is an improvement over much of June and July, which showed strong resistance from positive reflects the fact that VIG was a road prices have not fallen as fast as the price path for spy.

(2) Observation - Regression: Comparison of linear regression for time series that has a forward displacement of 3-period finds the following formation: The linear regression is equal to the length of the series with the path of prices slightly higher two. Since the linear regression provides the best fit "to the path of prices, which continued neutral implications for VIG. Consolidation seems to happen when the economic and financial situation is developing.

(3) Observation - Price Performance: Dividend assessment (VIG) shows a continuation of neutral price path (flat slope) on fairly weak indicators. This is unchanged from last month.

[Reference Maps: D1-7 (relative strength); AD1A-7A (regression); AD1B-7b (price)]

SCR Step 2 - Implication & Strategy:

(1) possible involvement: The summary of comments said to VIG is neutral, and has implications neutral. We see this observation neutral on most dividends based ETFs that we track. In addition, the neutral position extends across all market capitalization sizes.

Other considerations:

First, for most investors, a diversified investment approach combining the portfolio shares, bonds, money market, etc., is optimal. While financial diversification can not protect against loss in a declining market, it can reduce overall portfolio volatility.

Second, with the continuing displacement of pension responsibilities from employer to employee, personal investment success will be necessary to supplement the benefits most packages. Thus, an objective to invest successfully in a variety of assets becomes crucial in providing a comfortable retirement for you and your spouse. In return for this purpose the study of information available on this site, which was kind enough to host our research in this article will help you. At www.StrategicCapitalResearch.com, we provide materials for additional funding of education that you find in books and videos investment. Between the two sites, you should be able to find enough information to get started toward achieving your pension investment goals.

Third, the above analysis excerpt, the usual exclusions apply. Like all research publications Strategic Capital Research, which are made using historical data, one must recall that the analysis of past market reactions can not predict future market shares. In particular, no amount of historical data can predict the sudden changes that sometimes occur on financial markets. Finally, the map reference numbers refer to both the portfolios and their assistants conducted tests which are located www.strategiccapitalresearch.com / research.html.