The Issachar Fund (LIONX, BRI, ESG), is about 55% invested in 24 growth stocks as of Sunday, July 26, 2020. (Podcast) I added more growth stock positions to LIONX as my conviction level increased during this minor correction. Corrections are needed and fine as long as they do not dig a hole you get stuck in. I believe the uptrend is still in-tact and the over-head resistance may be met with more buyers than sellers this week. Leading growth stocks appear to be acting well (declining on light volume) allowing me to buy the ones I missed as they pull back and digest recent gains. I missed the solar stock up move mainly because I could not find stocks that met my fundamental criteria. Remember, I am looking for stocks with at least three consecutive quarters of increasing sales and earnings and have double-digit earnings estimates for next year. It is harder to find stocks with these strict fundamental criteria especially during these government-mandated economic lockdowns, so P/E ratios for these leaders seem to be a little stretched. Software, Medical, and Chips are the dominant stock theme positions in LIONX currently. The Fed increased its balance sheet again last week by about $6 billion albeit small but at least it is up instead of down. I remain bullish and plan to get more invested this week as I seek additional positions. If I am wrong, I plan to get right, so I believe it is okay to be wrong, but it is unacceptable to stay that way. While my trading activity might be relatively high, my goal is to manage risk by limiting drawdowns. (There is no guarantee that any investment will achieve its objectives, generate positive returns, or avoid losses.)
I plan to host a “Chat with Dex” live Q&A webinar on Tuesday, July 28th at 3:15 Central (15 minutes after market close). Please Email me, Dexter@IssacharFund.com, if you want me to send you the invite details. Please tell a friend and join us if you can!
God changed my heart! I was asked several times recently “what changed that caused LIONX to perform so well in the last year?”. Quite simply, it was a heart change. While attending a Kingdom Advisor Conference in February of 2019, Mark asked me why LIONX was not a BRI fund. BRI (Biblically Responsible Investing) helps me align my investments with Biblical values. I did not have a good answer but immediately God touched my heart. Minutes later I watched Robert explain how I could use his software program to exclude “bad actors” from LIONX. A “light bulb” went off in my head and God immediately changed my heart. I changed the LIONX prospectus in June 2019 to exclude stocks that do not line up with Biblical principles and that is when the performance began to improve. I started investing in BRI growth stocks with strong fundamentals and sound chart patterns instead of mutual funds and ETFs. Before June 2019, I was not pleased with my performance. Since I switched to BRI, I am very pleased with the returns and drawdowns LIONX has achieved. Only God could do that, so He gets all the glory. I rest in His wisdom, joy, and peace knowing that I am His Son, He is my Father, and nothing will ever change that relationship. I pray that God would bless you more than he has blessed me, and you would have a personal Father-Son/Daughter relationship with Him! (For additional information about the Fund, including current performance please visit www.issacharfund.com)
Bottom line: I believe the market may penetrate overhead resistance and head higher this week. If that happens, I plan to get more invested. Growth stock leaders still appear to be in charge, and I expect them to continue their advance at least until we get early signs of an economic recovery. Until then, I expect the “work from home-cloud based” software, medical and chip stocks to remain under accumulation by the large institutions. I try to follow the “big money”. If I am wrong, I will do my best to minimize the draw-down by going back to Cash if needed. Do not forget to send me your email to sign up for the “Chat with Dex” webinar this Tuesday. May you receive God’s unconditional Love and live to share it!
Investors should carefully consider the investment objectives, risks, charges, and expenses of the Issachar Fund. This and other important information about the Fund are contained in the prospectus, which can be obtained by calling 1-866-787-8355 or visiting https://www.LIONX.net. The prospectus should be read carefully before investing. The Issachar Fund is distributed by Northern Lights Distributors, LLC., member FINRA/SIPC. Horizon Capital Management Inc., (HCM) is not affiliated with Northern Lights Distributors, LLC. Important Risk Information: Mutual Funds involve risks including the possible loss of principal. An investment in the Fund may not be appropriate for all investors. The Fund may hold cash positions when the Adviser feels that the market is not producing returns greater than the short-term cash investments in which the Fund may invest. There is a risk that the sections of the market in which the Fund invests will begin to rise or fall rapidly and the Fund will not be able to sell stocks quickly enough to avoid losses or reinvest its cash positions into areas of the advancing market quickly enough to capture the initial returns of changing market conditions. The Adviser’s judgment about the attractiveness, value, and potential appreciation of particular asset classes and securities in which the Fund invests may prove to be incorrect and may not produce the desired results. Past performance is no guarantee of future results. For more information on LIONX, please visit LIONX.net. NLD Review Code 3853-NLD-7/27/2020