The Unconstrained Alpha Series portfolios are intended to be used primarily as a complement to an already well-diversified, well-balanced portfolio. The goal in these portfolios is to achieve outperformance (or “alpha”) as compared to the underlying markets.* This series can be volatile and values can swing considerably as the markets move. Of course, with this increased volatility comes the potential for superior performance.
The Global Investment Marketplace
Seeking maximum alpha, the Unconstrained Alpha Series is an aggressive "go anywhere" investment model. Investments in this series are chosen from across the global markets in response to ever-changing market and economic conditions. The goal of the investment selection process is to own the best-performing assets, asset classes, and global market sectors in light of whatever conditions exist in the world at any given time.
These portfolios are typically invested in individual stocks, but they can also contain Exchange Traded Funds (ETFs) in order to capture returns in a specific asset class or market sector. In addition, institutional class mutual funds are occasionally used when it is determined that they are the most effective way to implement the portfolio strategy and achieve the portfolio goals.
The Investment Selection Process
Individual investments are chosen using a proprietary qualitative-quantitative methodology designed to select investments that have the potential to outperform their underlying markets. Technical indicators such as relative strength, moving averages, and various chart patterns are considered alongside an analysis of global market and economic indicators.
This portfolio series is typically invested in a concentrated position of stocks and ETFs, as diversification is not a goal with this investment model. Also, trading in and out of specific investments can occur frequently when market conditions dictate this to be an advantageous approach.
*No investing strategy can assure or guarantee superior performance nor eliminate the risk of investment losses.