What a year! For the first time, the S&P 500 ended every single month of a calendar year with a gain. That has never happened before! It came very close three times in 1958, 1995, and 2006, when it had 11 “up” months up until 2017 that the S&P 500 finished it with 12 months of gains.

That made 2017, the most challenging year for us. It was similar to be in an endless fight against a stubborn opponent without a break. That constant pressure forced us to keep spending on protecting our portfolio by giving up part of our projected profits for the purpose of our primary goal: Capital Preservation.

Nonetheless, Derivatix finished 2017 with a moderate of 12.4% (average net profit after all fees) while the historical market behavior brought larger gains for major US indices meanwhile: S&P 500, Dow Jones and NASDAQ raised 19.4%, 25.2% and 31.5% in 2017 respectively.

So, what we did to deal with this big challenge? As announced in our previous report, we developed an in-house Dynamic Quantitative Trading System and combined it to our original sideway system to dynamically adopt the fund’s portfolio to current market behavior. The hybrid system is now in effect since Jan. 1st, 2018 empowering the fund of the historical market ride up. The results have been promising so far. We’ll report them in Jan. report.

​Stay tuned and warm,