This thread is funny, in a sad kind of way. The street is always peddling the portfolio strategy that would have worked in the immediate past. Buy-and-hold types needed the portfolio insurance over the past three years. Much less so now, especially if they are holding for the long (+5 year) term. The pitch-men in this example sound like opportunists selling yesterday's solution. There implicit argument is 'See, this strategy would have worked terrific over the past three years!' But it just may make their naive customers happy so what the hell ...