The fund seeks capital appreciation by investing in companies across any size outside the United States.
The sub-adviser’s investment process starts with a list of companies in the benchmark index and the research team utilizes quantitative techniques and fundamental analysis to identify investment opportunities.
Next, the research team invests in exchange-traded funds that invest in securities of issuers from a number of countries throughout the world, including emerging market countries.
The strategy primarily utilizes ETFs and equities but may also use fixed income securities to diversify the fund’s asset classes.
The team then utilizes a top-down approach to identify sectors that demonstrate superior performance relative to the overall market.
As part of the process, the team reviews the general market conditions followed by particular industry sectors to select those sectors that have the potential to outperform the market.
Then the manager constructs a portfolio of stocks from a list of companies favored by the research team and allocates capital based on its conviction level.
The manager will allocate a significant percentage to direct investments in cash and cash equivalents.
Additionally, the fund may invest in foreign securities, including foreign securities in emerging markets.
The fixed income securities in which the fund invests will be investment grade and may be of any duration or maturity.
The fund seeks capital appreciation by investing in companies across any size outside the United States.
The investment process starts with a list of companies in the benchmark index and the research team utilizes quantitative techniques and fundamental analysis to identify investment opportunities.
Next, the research team invests in exchange-traded funds.
The team utilizes sector rotation strategies that attempt to capitalize on changes in the business cycle.
In addition, the team relies on an investment model for analyzing market trends. The investment model includes factors such as price momentum, volatility, comparative indicators relative to certain indices and a recession model.
When the model indicates a negative market trend, the team focuses on ETFs that invest in treasury bonds, exchange traded notes and leverage and inverse ETFs.
Then the manager constructs a portfolio of stocks from a list of companies favored by the research team and allocates capital based on its conviction level.
The fund will not generally invest in individual portfolio securities.
However, the fund may hold significant cash or inverse ETF positions during unfavorable market conditions.
