In this article TheMacroTrader.com highlights its use of a Junk Bond or High Yield Bond trading model against its benchmark. What they are able to do is outperform the underlying fund on an absolute and risk adjusted basis. In fact on a risk adjusted basis it beats the SP500 so far this year. You have a 5.6% return with the Model and a 7% return with the SP500. But you have never been down more than -.71% with the Junk Model. Your worst drawdown with the SP500 is far more at 9.43%. 9 times the risk for only 1.4% more return is pretty crappy. The Macro Trader has several models that beat the market on an absolute as well as risk adjusted basis in addition to their discretionary trading.