Leonetti & Associates, LLC's Q4 2018 13F Holdings Comparison: Notable Changes in Investment Strategy

Leonetti & Associates, LLC is a United States-based investment management firm that provides investment advisory services to private clients, high net worth individuals, and institutional investors. The firm has recently released its Q4 2018 13F Holdings Comparison, which details the changes in holdings of the firm from the third quarter to the fourth quarter of 2018. In this blog post, we will examine the holdings comparison and highlight some of the notable changes.

The 13F report is required by the Securities and Exchange Commission (SEC) for all institutional investors who manage more than $100 million worth of assets. In the report, the investors have to disclose their holdings of publicly traded US securities and the changes in those holdings between the reporting period's start and the end.

According to the report, Leonetti & Associates, LLC made significant changes to its holdings in the fourth quarter of 2018, selling off some of its shares and buying more of others. The firm's holdings in Invesco QQQ Trust (QQQ), SPDR S&P 500 (SPY), and SPDR Technology (XLK) – the three largest holdings in its portfolio – remained relatively unchanged. However, there were notable changes in other holdings.

The biggest change was recorded in iShares Russell 2000 (IWM), which had a 61.3% decrease in shares held by Leonetti & Associates, LLC. The firm sold off more than half of its shares in the fourth quarter, decreasing its holding from 221,332 shares to 107,717 shares. This move likely signifies the firm's belief that the small-cap market will struggle in the short term.

The second-largest decrease was in iShares High Yield Corp Bond ETF (HYG), which saw a 92.5% decrease in shares held by the firm. Leonetti & Associates, LLC sold off more than 139,000 shares, decreasing its holding from 151,833 shares to just 12,127 shares. This suggests that the firm is less bullish on the high-yield bond market.

On the other hand, the largest increase was recorded in iShares Floating Rate Bond (FLOT), which had an 8.5% increase in shares held by the firm. Leonetti & Associates, LLC bought an additional 28,147 shares, increasing its holding from 283,755 shares to 311,902 shares. This move likely signifies the firm's belief that floating rate bonds will be more profitable in the short term.

Another notable increase was recorded in Atlassian Corp (TEAM.MX), which had a 5.1% increase in shares held by the firm. Leonetti & Associates, LLC bought an additional 1,570 shares, increasing its holding from 63,130 shares to 64,700 shares. This suggests that the firm is bullish on the company's future prospects.

It is worth noting that the firm sold off all its holdings in Idexx Laboratories Inc (IDXX), eliminating its 60,220 shares in the company. The firm also sold off its holdings in SPDR S&P Biotech (XBI) and ServiceNow Inc (NOW), indicating that it is not confident in the biotech industry and the software industry, respectively.

Overall, Leonetti & Associates, LLC's Q4 2018 13F Holdings Comparison shows that the firm made significant changes to its holdings, indicating its shifting stance on the overall market and different sectors. The firm's strategy is likely to remain dynamic as it tries to capitalize on opportunities and avoid risks in the ever-changing financial landscape. Investors should monitor the firm's moves carefully to gain insights into market trends and identify potential opportunities.