What are ZuluTrade Investment Baskets?
In a world where stocks have regained their position as a leading traded market, with jaw dropping news and thrilling volatility, every investor’s attention is captured by these financial instruments.
ZuluTrade could not turn a blind eye to this fundamental change of investing and after offering more than 60 US stocks, we are in the fortunate position of announcing the launch of our new stock baskets!
So, what is a stock basket?
It is a combination of similar stocks (usually of the same sector) with specific weights (analogy of contracts) that offers a more balanced exposure to a collection of stocks rather than investing in just one.
Below, you can see the newest stock basket that ZuluTrade has launched!
Air Travel basket:
Recently, due to the pandemic, travel companies have been negatively affected in revenues and business growth, however as everything gets back to its normality, these stocks have started to gain more and more attention.
The Air Travel stock basket was created in order to offer a more diversified and optimized investing option to ZuluTrade investors so as to capitalize from the airline’s stocks rebound.
The portfolio has its funds allocated in four of the biggest and most well known Airlines in the world.
American Airlines, the world’s largest airline when measured by fleet size, scheduled passengers carried.
Delta Airlines, which along with its subsidiaries and regional affiliates, including Delta Connection, operates over 5,400 flights daily and serves 325 destinations in 52 countries on six continents.
Southwest Airlines, a company with a totally different business model from other US airlines, as it uses a rolling hub and point-to-point network, allows free checked baggage, and does not charge change fees.
And United Continental,the world’s largest airline, as measured by revenue passenger miles.
Their rounded weights are respectively: 9%, 20%, 46% and 25%.
The weighting algorithm is based on the stocks’ long term average true range relative to their current price and to the Portfolio’s VaR.
The weights are subject to price fluctuation and would deviate.
The portfolio will be rebalanced on ZuluTrade’s discretion, based on market conditions.
Past performance is not indicative of future one.
That was our newest stock basket addition, new ones are coming soon and will be available to profit sharing accounts only!