Table of Contents
Reasons To Invest
- Seeks to Capture 60% of Market Upside With Only 30% of the Downside
- Utilizes Highly Liquid Instruments to Achieve Targeted Exposures
- Provides Diversification to Traditional Asset Classes Within an Overall Portfolio
There is no guarantee that these objectives will be achieved.
MPS Combines Quantitative Parameters and Portfolio Manager Judgement
The strategy dynamically adjusts factor exposures (market, volatility, and duration) using:
- S&P 500 Index options and futures, which provide equity participation with limited risk
- US Government bonds and futures, which seek to preserve capital and provide downside protection
Exposures Are Actively Managed In Response To Changing Market Conditions
Since the strategy’s inception on 1/1/1992, this combination of reduced maximum drawdown with significant upside capture has provided annualized returns in line with the S&P 500 Index over the long term – but with significantly less volatility.