We realize that sometimes the simple buy and hold approach may not yield the best outcome. Historically, there have been various quantitative strategies that have produced excess returns to the broad market. Because these strategies typically require trading positions in the portfolio for a period of less than one year, they are not tax efficient. In some cases, this may make the tactical strategy unattractive to implement in a taxable account. However, this is an irrelevant matter if the strategies are implemented in tax-deferred and tax-free accounts. We have found that in today’s capital market environment, the universe of low-cost and highly liquid ETFs provides efficient vehicles to use in tactical models.
Contact us to learn more about the various models available. Some of the models available are from third-party research groups, and an additional license fee may apply.