May 2012 FMx Dynamic Equity ISM
Friday, May 4th, 2012
The FMx Dynamic Equity ISM seeks capital appreciation without regard to current income. The strategy primarily uses no-load institutional and exchange-traded funds. The portfolio is divided into 4 distinct segments. Each is designed to take advantage of those sectors and areas of the market that offer the best opportunities for good returns based on the [...]
Strategy Diversification
Wednesday, May 2nd, 2012
Our ten investment strategy models (ISMs), which are blended to create Optimized Portfolio Models (OPMs), provide the benefits of diversification through differing market conditions. The last year has been marked with uncertainty, and although the markets have moved upward, there have been very few periods of overly strong trends, either up or down. In fact, [...]
FMx Premier Asset Management Investment Strategy Model (ISM)
Wednesday, April 25th, 2012
The FMx Premier Asset Management Investment Strategy Model (ISM) identifies outstanding global investment managers who have a proven performance record of at least 5 years and a methodology for risk management. The month to date return is -1.09% versus -2.09% for its benchmark, the S&P Global BMI. The year to date return is 10.19 versus [...]
FMx Tax Managed OPMs
Monday, April 16th, 2012
The FMx Tax Managed Objective Portfolio Models have the objective of generating tax free income and tax managed appreciation over a long time horizon with differing degrees of portfolio risk. There are six portfolios including Aggressive, Moderately Aggressive, Moderate, Moderately Conservative, Conservative and Protective. The FMx Tax Managed Protective Model consists of approximately 90% fixed [...]
October 19th Equity Model Update
We continue to experience rampant ups and downs in the equity markets. So far this year out of 201 trading days we have seen 65 days that have experienced a rise or loss of over 1% in a single session. In addition, 29 days have seen swings of more than 1.5% and 21 days have experienced over 2% movements.
Compare this data to 1952 the year Harry Markowitz, winner of the 1990 Nobel Prize for Economics, introduced the efficient frontier. In 1952 there were 250 trading days in which the market experienced 11 days with a rise or loss of over 1% in a single session. In addition, only 1 day saw a swing of more than 1.5% and no days had movements of 2% or more.
In today’s market dynamic inclusive of electronic information and trading; we must protect assets when data suggests to do so but be in a position to seize opportunity as well when it appears.
Teeter totter markets like we have experienced so far this year force us to stay patient, adhere to our well defined process and stay flexible and ready to rebalance holdings as necessary.
This article, written by Gregory Rutherford, Chief Investment Officer, was originally published at FolioMetrix LLC .