Multiple Rotation Strategies
The four market segments are managed through the use of five underlying rotation strategies. The goal of each rotation strategy is to systematically identify and provide exposure to leading strategy components on an ongoing basis.
*Scenario shown for illustrative purposes only. Portfolio allocations will vary.
Response for Changing Market Conditions
The Fund seeks to achieve its investment objective by implementing a proprietary tactical asset allocation (TAA) model.
The Fund seeks to moderately overweight market segments, rotation strategies, and ETFs exhibiting positive relative strength and underweight market segments, rotation strategies, and ETFs exhibiting negative relative strength. In essence, TAA works by reallocating at different times in response to the changing patterns of returns available in the markets. Below is a description of each rotation strategy, including minimum and maximum exposures and targeted number of ETF holdings:
Portfolio of Exchange Traded Funds
The Fund will seek to implement its strategies by investing in exchange traded funds, an efficient and effective investment designed to closely track the composition, performance and yield of an underlying index. ETFs typically provide exposure to different market segments by investing in a diverse "basket" of stocks, bonds, or commodities. ETFs are listed and traded on U.S. stock exchanges. Simply put, they trade like stocks and act like index funds.