CXA Markets caters to discerning traders and investors seeking wealth management alternatives. The firm's trading strategies are designed to take advantage of every
market condition — Bull, Bear and in Between — and our primary focus is always
on risk management.
Our algorithm highlights opportunities and risks, removing subjectivity and
emotion from the investment process. Thus, we only communicate three simple
words: Buy, Sell or Nothing!
We don't opine on where stocks should go,
or become distracted by subjective valuation models. Instead, we analyze where the
market wants to take stocks, and position our trades
Intelligent investment ideas abound, but what
everyone cares about, regardless of well written speeches, is Positive Return on Investment — year in and year out.
In the interest of full disclosure, our Nimble strategy is aggressive and
doesn't fit everyone's personality.
Nimble Growth is a short-term strategy designed to
generate frequent and small profits regardless of market conditions, while
taking advantage of the compounding effect.
The strategy triggers both long and short positions, and you can think of it as
"Personal Hedge Fund," while you have complete control over your accounts,
without being time-trapped in a fund! As an option, you may
use Nimble Long and skip the short trades if you're not
interested in a margin account.
A minimum of
$100,000 in capital is recommended to implement this strategy (can be done with $50,000), based on a round trip
commission/capital ratio of $20/0.25% (20/0.0025) per position.
Three simple operational facts:
- A maximum of 6 trades are held at any given time, and 16% of
total capital is allocated to each trade, with 4% of total capital kept in cash. Portfolio value is the sum of cash and the
value of the open trades.
- Only market orders are used, and are placed pre-market for execution at the open.
Limit, stop-loss or trailing stop orders are never used, and open trades are
never added to, or scaled back. No hedges of any kind are ever used.
- List of daily trades is delivered to members via
e-mail every market day no later than
9:00 a.m. EST. If no trades are selected
for a given day, a message is
still sent to inform members of the decision. Trades are also accessible via the member's
If income is the goal, stock paying dividends, bonds, and CDs are the norm,
although the returns can be quite meager, even during good times.
Nimble Income is the alternative, and the only
modification required is a reset of the base capital at the end of every
quarter, removing accumulated profits — or "Nimble Dividends."
The annual return on investment will be lower than if profits continue to
accumulate and are reinvested, as is the case with the Nimble Growth strategy outlined above, but the return is superior to
What about short-term capital gains tax?
Although we like to minimize the tax bite, we view taxes as the cost of doing
business, not an obstacle that must be circumvented. We don't put taxes ahead of
profit, because that's the equivalent of putting the cart before the horse. It's
easy to do the math, and short-term capital
gains tax depends on your marginal tax rate, while keeping in mind that dividends are also taxable. Returns
shown are net of CXA Markets' fees and trade commissions.
HFI: The source of hedge funds data used is
Taxes and fees are not taken into consideration and will reduce return on investment.
Using data that closely mirrors CXA Markets Nimble: Dow Jones Credit Suisse Core Long/Short Equity Hedge Fund Index. HFI performance subject to last revision up to 60 days after the end of the respective year.
** Dividend yields shown are for S&P 500 ETF (SPY) and Dow Jones Industrials
Average ETF (DIA).