I select exposure of sectors or geographies that I believe will outperform and reduce (sometimes even short) those will underperform , e.g. I got ride of all EU and most EM, and added more oil/energy (XEG) + insurances. Before the US fed rate hike, I short gold using put option. To make these decision, I read WSJ and Bloomberg everyday, listen to what the street says and what my colleagues (they are all bankers) say.