Christian Magoon

Amplify is seeing significant rotation out of technology and into "energy, materials, precious metals." Magoon specifically highlights their Natural Resources income strategy (yielding ~10%) and Junior Silver Miners. This rotation aligns with the "value" trade. As investors take chips off the table in Tech due to valuation concerns, capital flows into real assets and cyclical sectors that offer both inflation protection and yield (alpha). LONG Real Assets and Commodities. A global recession or sharp drop in aggregate demand would crush commodity prices regardless of the rotation thesis.

Magoon advocates for a strategy mixing "high quality US equities" (DIVO) and "high quality international stocks" (IDVO) with an "active managed covered call approach." He highlights that the international version was up significantly (41% in the prior year mentioned) by using this tactical approach. In volatile markets, relying solely on price appreciation is dangerous. Generating yield from two sources—dividends and option premiums—buffers returns. Furthermore, option income often counts as "Return of Capital," which reduces the investor's cost basis rather than being taxed immediately as ordinary income. LONG. These active ETFs offer a superior risk-adjusted way to capture income compared to passive indexing in choppy markets. Covered calls cap upside potential during aggressive bull runs; international exposure introduces currency and geopolitical risks.

Investors are looking more at hedged equity plays that use covered calls or dividend paying stocks to limit volatility and provide an income stream, adding to total return while cushioning against market movements.

Amplify is seeing significant rotation out of technology and into "energy, materials, precious metals." Magoon specifically highlights their Natural Resources income strategy (yielding ~10%) and Junior Silver Miners. This rotation aligns with the "value" trade. As investors take chips off the table in Tech due to valuation concerns, capital flows into real assets and cyclical sectors that offer both inflation protection and yield (alpha). LONG Real Assets and Commodities. A global recession or sharp drop in aggregate demand would crush commodity prices regardless of the rotation thesis.

Magoon advocates for a strategy mixing "high quality US equities" (DIVO) and "high quality international stocks" (IDVO) with an "active managed covered call approach." He highlights that the international version was up significantly (41% in the prior year mentioned) by using this tactical approach. In volatile markets, relying solely on price appreciation is dangerous. Generating yield from two sources—dividends and option premiums—buffers returns. Furthermore, option income often counts as "Return of Capital," which reduces the investor's cost basis rather than being taxed immediately as ordinary income. LONG. These active ETFs offer a superior risk-adjusted way to capture income compared to passive indexing in choppy markets. Covered calls cap upside potential during aggressive bull runs; international exposure introduces currency and geopolitical risks.

Crypto assets are rangebound due to liquidity and legislative headwinds, but long-term bullishness suggests accumulating on weakness for future gains.

Cyber security has pulled back due to AI-related concerns, but this dip is a buying opportunity as cyber security remains crucial in an AI-driven world with potential for M&A activity.

Amplify is seeing significant rotation out of technology and into "energy, materials, precious metals." Magoon specifically highlights their Natural Resources income strategy (yielding ~10%) and Junior Silver Miners. This rotation aligns with the "value" trade. As investors take chips off the table in Tech due to valuation concerns, capital flows into real assets and cyclical sectors that offer both inflation protection and yield (alpha). LONG Real Assets and Commodities. A global recession or sharp drop in aggregate demand would crush commodity prices regardless of the rotation thesis.

Historical drawdowns in midterm election years suggest investors should use protected equity strategies like buffer or hedged equity ETFs to mitigate volatility and capture subsequent rebounds.

"Right now I would say international is leading and you know it's due to lower valuations and certainly all the spending that's happening overseas on infrastructure and defense." US markets are expensive relative to global peers. The combination of lower multiples abroad and specific fiscal catalysts (defense/infrastructure spending) creates a favorable environment for non-US allocation, particularly while the US dollar dynamics shift. Long International Developed Markets. A strengthening US Dollar would negatively impact returns for US-based investors in international markets.