SMART Asset Allocation

We created a rule-based investment process that helps our clients minimize losses in their portfolios, by adjusting to current market conditions based on our proprietary indicators. When the markets are performing well, we'll shift to holding more equities, however when the markets are performing poorly, we'll shift to more defensive vehicles either cash or bonds.

We accomplish our investment goals by using a combination of strategic and tactical investing, and the differences are explained below to help you understand how we're different.

You can view our performance HERE.

Strategic Investing

Strategic asset allocation is a passive investment style that sets long-term target asset allocations and assembles a portfolio based on those long-term target asset allocations.  Over time, the performance of the various asset classes will cause the portfolio to drift from the established long-term targets. Portfolios will be periodically rebalanced to return it to those long-term asset allocations. Accordingly, trades that occur in the portfolio are designed to restore the long-term asset allocation and typically are not designed to take advantage of any current market conditions at the time of the trade.

Tactical Investing

Is the practice of making proactive changes in a portfolio due to changes in market valuations or outlook.

Our tactical investment style seeks to add value by actively adjusting a portfolio by overweighing attractive market exposures and underweighting unattractive market exposures utilizing one or more themes. Strategies utilizing an active allocation methodology may hold more concentrated portfolios than portfolios managed by a strategic methodology. Increased concentration may lead to a wider range of performance over time.  Tactical strategies will still be risk-managed, however they will not likely maintain a consistent risk profile and can quickly become more aggressive or conservative as market conditions change. Elite Asset Management recommends that its Tactical strategies be used as a supplement to, and not as a substitute for, a client’s overall well-diversified investment portfolio.

Please Contact Us to learn more.