I usually don’t pay much attention to the ads that play before YouTube videos, but this one held my interest long enough to watch the whole thing. Here it is (please do watch it, since it’s only about a minute and kind of interesting):
As you see from the video above, this ETF, symbol Direxion All Cap Insider Sentiment Shares (NYSE:KNOW), purports to use a combination of insider trading data and a proprietary algorithm to take advantage of what ostensibly would be the “inside track” of corporate buyers. Sounds interesting, doesn’t it? Although I’m obviously a chartist, I was intrigued enough to check it out, so I overlaid the entire lifetime history of this ETF against the plain old boring SPY (NYSE:SPY).
The blue chart is the SPY and the black chart is KNOW. As you can see from that red circle, in the end, all the data and proprietary algorithms added up to a difference of precisely dick.