Moderate Allocation
We believe that positioning one’s core assets in a relatively stable blend of the basic asset classes is a sensible and simple approach to realize optimal results over time.
Portfolio Summary
Downloadable Materials
Details
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Inception:
December 2016 -
Benchmark:
60% ACWI/40% BB Bar. U.S. Agg.
Investment Vehicles
-
SMA Platforms:
- Account Minimum: $50,000
- Management Fee: 50bps
- Fees negotiable > $25mm
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UMA Platforms:
- Account Minimum: Varies
- Management Fee: 35bps
Annualized Performance
| Period | TRM | Bench |
|---|---|---|
| Nov | 2.59 | 2.67 |
| Q3 | 5.76 | 6.12 |
| 2023 | 13.75 | 15.43 |
| YTD | 12.70 | 13.54 |
| 1-YR | 17.35 | 18.56 |
| 3-YR | 5.04 | 4.08 |
| 5-YR | 8.20 | 7.16 |
| 12/31/16 | 8.40 | 7.69 |
Estimated Return Statistics
| Statistic | TRM | Bench |
|---|---|---|
| Alpha | 0.07 | - |
| Beta | 0.95 | - |
| Tracking Error | 0.52 | - |
| R-squared | 0.99 | - |
| Standard Deviation | 11.93 | 12.43 |
| Sharp Ratio | 0.07 | -0.01 |
| Max Drawdown | -18.57 | -21.13 |
Strategy
- Three portfolios assembled to achieve key objectives and risk dispositions
- Based on the risk profile, each portfolio is benchmarked to its respective blend of MSCI ACWI (equities) and Bloomberg Barclays U.S. Aggregate (fixed income)
- Disciplined, unemotional method employed to maintain partiality with investment selection
- Strategic in nature, portfolio adjustments will be moderate and infrequent
- Asset class weightings will be centered on the base proportions for each risk profile, but may deviate in any direction if market conditions warrant
- Portfolio tilts away from the target mix will be incorporated in small degrees when portfolio managers identify openings to enrich the opportunity set
Investment Process
- Evaluate opportunities and potential risk offered by the investment subsets underlying each broad asset class, which will change as the market cycle evolves
- Utilize fundamental and quantitative tools that were developed and refined over the last 30-plus years while managing clients‘ tactical allocation portfolios
- Based on the current macro-economic viewpoint of the asset allocation committee, broad asset classes are assigned ratings of neutral, defensive, or aggressive
- Asset class positions are measured relative to each portfolio’s benchmark and scaled according to the committee’s level of conviction
- Sectors, Regions, factors, and other narrower opportunities have neutral weights of zero and are considered on their individual merits
Disclosures
The Leuthold Group was founded in 1981 as an independent investment research firm. In 1987, the firm registered an RIA subsidiary with the Securities and Exchange Commission and began to direct investment portfolios based on the financial analysis of their research. Historical performance reflected is for the Leuthold Tactical Alllocation Conservative, Moderate, and Aggressive ETF Portfolio strategies. These are asset allocation strategies and utilize quantitative analysis in order to seek capital appreciation and/or growth. “Gross” performance results reflect the deduction of all transaction costs, but do not include custodial, investment advisory fees or other expenses. “Net” performance is an estimate that reflects the de- duction of all transaction costs and investment advisory fees paid. For periods in the current quarter, net estimates are calculated based upon the highest investment advisory fee paid. The current month’s gross performance is an estimate.
Returns presented for the strategies assume reinvestment of all dividends, interest, and realized gains. Gross Returns are presented before deduction of management and custodial fees, but after trading expenses. Past performance should not be considered predictive of future performance. As with any investment, there can be no assurance that the Adviser’s investment objective will be achieved or that an investor will not lose a portion or all of his investment. The strategy composites were established on December 29, 2016.
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