The program is an investment advisory program with continuous and regular supervision of investments by WS Wealth Managers Inc. using the advanced brokerage custodian platform provided by FOLIOfn Investments.

Combinations of stocks, exchange traded funds (ETF's), Closed End Funds (CEF's), as well as limited fixed income securities and mutual funds are combined into "model" FOLIO's designed to accomplish specific investment objectives. Subcriptions to certain combinations of FOLIO's and periodic modifications are designed to provide for superior risk management and an efficient and optimized form of Dynamic Asset Allocation custom tailored to each investor.

A "typical" portfolio in the program, analyzed using Morningstar Office software indicates a high degree of diversification with 1500 equity and 500 fixed income holdings. This level of diversification is possible, even in smaller accounts, in part because of the ability of the FOLIOfn platform to trade fractional shares.



Wednesday, November 2, 2016

Money Manager Review as of 11/02/2016


Classic Defensive and Dividend Income continue to be strong performers.

Wednesday, August 7, 2013

WS Managed FOLIO Ranked #1 Again

The periodic publication, Money Manager Review has again ranked WS Wealth Managers Inc.'s WS Classically Defensive Managed FOLIO the overall BEST (#1) among "Balanced" Managers. The ranking covers the period of the last five years ending 06/30/2013.  It considers both Return and Risk metrics in the ranking.

In addition, 10 of the 15 WS Managed FOLIO's were ranked either #1, #2 or #3 among their respective categories for certain time periods.

Money Manager Review reports that it tracks 800-plus money managers. It's publication is available on a subscription basis in print and on-line.

Wednesday, April 25, 2012

1st Quarter WS FOLIO Performance

Dividend Income and Pipeline MLP's paying high dividends lagged the market considerably. These were the best performing FOLIO's in 2011. The worst performing FOLIO's in 2011, namely International Opportunity and Aggressive Growth did quite well this quarter.  Clearly in 2011, low risk was popular and in the first quarter, the riskiest strategies did well.

Fixed Income did very poorly in the first quarter, with supposedly "risk free" 2 year Treasuries actually declining.  The senior loans in Hedged Income outperformed in this environment.

The Classic Defensive FOLIO lagged the market in this quarter, taking a rest after returning 12% in 2011 when the S&P500 return was zero.

Clearly this was a "Risk On" quarter, and so far in April, is showing to be a period when the markets got ahead of themselves a bit.  So far markets are down for the month of April.

Below is the list of FOLIO's and their performance 12/31/2011-03/31/2012.

Rising Rates  14.24%
International Opportunity 14.24%
Aggressive Growth 13.75%
Swiss/So Germany EuroZone 12.97%

                               S&P500 Domestic Benchmark  12.00%

Food Production 11.37%

                               DJ  Developed World Ex US  10.30%

Japan 9.93%
Energy Resources 7.60%
Moderate 70/30 Core 7.50%
REITS and Resources 5.84%

Hedged Income 2.81%
Pipeline MLP 2.75%
Dividend Income 2.41%

Classic Defensive 1.33%
Utility Fixed Income 0.05%
          
                                2 year Treasuries -0.10%

                       

Tuesday, April 24, 2012

WS FOLIO Rankings 1st Qtr 2012

Money Manager Review Ratings (Qtr Ending 3/31/2012)
WS Wealth Managers Inc. WS Managed FOLIO's
Rankings 
1 yr 3 yr 5 yr
US Equity Multi-Cap Value
WS Pipeline MLP #1 #6 #1
US Balanced Large Cap Value
WS Classic Defensive #1 #9 #1
US Fixed Income Core Bond-Blend
WS Preferred Utility Income #5 #2 #2
Global Balanced Multi-Cap Value
WS Moderate 70/30 Composite #1 NA NA
Global Balanced Multi-Cap Blend
WS Moderate Core #1 #7 #2
WS International Opportunity #11 #1 #1
Global Equity Multi-Cap Growth
WS Aggressive Growth #12 #11 #1
Global Equity Large Cap Value
WS Rising Rates #3 #8 #2
Global Equity Multi-Cap Value
WS Dividend Income #2 #6 #1
WS Energy Resources #8 #8 #2
International Equity Multi-Cap Core
WS Japan #1 #1 #1
International Equity Multi-Cap Value
WS Swiss/So Germ Euro Zone #10 #10 #3

Wednesday, January 25, 2012

Fed Signals MORE Stimulus

The Federal Reserve is clearly worried about slower than expected "growth" during an election year.  Below is a comparison of the statements made on January 25 and December 13. Markets will probably react favorably to the "stimulus" but be anxious about why the economy is so weak that the stimulus is needed.


January 25 Text

While indicators point to some further improvement in overall labor market conditions, the unemployment rate remains elevated. Household spending has continued to advance, but growth in business fixed investment has slowed, and the housing sector remains depressed. Inflation has been subdued in recent months, and longer-term inflation expectations have remained stable. Consistent with its statutory mandate, the Committee seeks to foster maximum employment and price stability. The Committee expects economic growth over coming quarters to be modest and consequently anticipates that the unemployment rate will decline only gradually toward levels that the Committee judges to be consistent with its dual mandate. ..the Committee decided today to keep the target range for the federal funds rate at 0 to 1/4 percent and currently anticipates that economic conditions --including low rates of resource utilization and a subdued outlook for inflation over the medium run -- are likely to warrant exceptionally low levels for the federal funds rate at least through late 2014.


December 13 Text

While indicators point to some improvement in overall labor market conditions, the unemployment rate remains elevated. Household spending has continued to advance, but business fixed  investment appears to be increasing less rapidly and the housing sector remains depressed. Inflation has moderated since earlier in the year, and longer-term inflation expectations have remained stable. Consistent with its statutory mandate, the Committee seeks to foster maximum employment and price stability. The Committee continues to expect a moderate pace of economic growth over coming quarters and  consequently anticipates that the unemployment rate will decline only gradually toward levels that the Committee judges to be consistent  with its dual mandate. The Committee also decided to keep the target range for the federal funds rate at 0 to 1/4 percent and currently anticipates that economic conditions -- including low rates of resource utilization and a subdued outlook for inflation over the medium run -- are likely to warrant exceptionally low levels for the  federal funds rate at least through mid-2013.

Thursday, December 15, 2011

Working with WS Managed FOLIO's Program

The FOLIO Advisor program using WS Managed FOLIO’s is a Portfolio Management System. After opening an account with FOLIOfn Investments, Inc. in the FOLIO Advisor program, the Client and the Adviser (WS Wealth Managers, Inc.) choose Target Account Allocations.

The Target Account Allocation process is the selection of percentages applied to fifteen (15) WS Managed FOLIO’s available.

Generally, the Client and the Adviser will together select three “potential scenarios” with different Account Allocations—Yellow, Red, and Green. During a Yellow period, or a period of “caution” where the Client decides to be “relatively defensive” because there is a perceived risk of market decline, the Account Allocation might be: 40% Moderate Core; 10% Dividend Income; 40% Classic Defense; and 10% National Muni. During a Red period where the Client decides to be “very defensive” because of a perception of “near certainty” that markets will decline, the Account Allocation might be: 20% Moderate Core; 70% Classic Defense; and 10% National Muni. During a Green period where the Client believes an exposure to markets is attractive, the Account Allocation might include larger allocations to the nine (9) FOLIO’s designed to rise during periods of growth.

Once the Target Account Allocations are determined and funds are available in the account, the Adviser will “subscribe” the account to the appropriate WS Managed FOLIO’s in the amounts consistent with the Account Allocation for the period, according to the Client’s instructions. The Adviser’s Chief Investment Officer manages each FOLIO: buying, holding, selling and rebalancing securities; using best efforts to achieve the objectives of each FOLIO. The process is similar to the CLIENT choosing a collection of mutual funds where the holdings in each mutual fund is managed by the fund manager/s. In the FOLIO Advisor program, following this illustrative example, the WS Managed FOLIO’s are like mutual funds managed by the Adviser’s Chief Investment Officer.

The FOLIO Descriptions clearly indicate that the Adviser can tactically change the character (increase cash allocation) of the holdings in each FOLIO when it is deemed advantageous to do so, however one major benefit of the FOLIO Advisor program is the use of a Rotation Strategy where the Account Allocations are changed from the Green to Yellow to Red, etc. as deemed advisable by the CLIENT with guidance and advice from Adviser.

The Adviser does not claim to be able to predict the future with precision, but will periodically provide a balanced forecast to the Client using “Reasonably Reliable Leading Indicators” or RRLI’s that will assist the Client in choosing a Green, Yellow, or Red scenario Account Allocation. One major RRLI is the US Treasury Yield Curve. None of the RRLI’s are 100% reliable. Choice of the scenario by the Client will depend on their judgment and risk tolerance.

This is not a market timing system. It is an intelligent Asset Allocation Strategy for adapting to changing market conditions. It must be noted that moving from one allocation to another may deprive the Client of substantial gains if markets rise significantly during periods when a Red scenario Account Allocation is chosen. It must also be noted that significant market/account declines may occur without warning no matter what scenario Account Allocation is chosen. Investing always involves significant risk.

Cost of the program (subject to a minimum asset level) and management of the FOLIO’s by the Adviser is a fixed annual percentage of assets in the account. Fees are deducted quarterly in arrears. There is no extra cost for shifting from one Account Allocation to another. (e.g. from Green to Yellow) Actual FOLIO’s percentages will probably drift away from the target Account Allocation and can be manually “rebalanced” by the Adviser upon the Client’s request on an annual basis. A more frequent rebalancing of Account Allocation can be accomplished by “subscribing” to a pre-set “published” FOLIO Allocation.

While it is possible to transfer securities to FOLIOfn with an “in-kind” transfer, it is generally required that new funds be added to accounts in the FOLIO Advisor program by the transfer or deposit of cash. This can be accomplished by check, wire transfer or electronic (EFT) transfer. Rollovers of IRA accounts at brokerage firms can be liquidated at the old broker with account balance transferred via the ACAT system without tax consequences. Special arrangements are possible for positions in non-qualified accounts where there are concentrated stock positions and the intent is to sell a major part of the holdings after transfer but with the lower cost of using the FOLIO Advisor program.

Under specific agreement between the Client and Adviser, additional “custom made” or “Ready to Go” FOLIO’s may be subscribed to within FOLIO Advisor, however all normal fees shall still apply. Such “special” holdings will only be considered if in the sole opinion of the Adviser (using a fiduciary standard of care) such holdings are consistent with the best interest and risk tolerance of the Client.

Clients are encouraged to provide publically available information to the Adviser about specific securities that might lead to improved performance of one or several WS Managed FOLIO’s. It is important to recognize that the performance of each WS Managed FOLIO is less dependent on any one security and more dependent on how all of the securities in the FOLIO work together providing benefits from diversification. The FOLIO Advisor program and it’s powerful cost efficient technology can increase the value of those benefits.

The client has the option of choosing from eight tax lot tracking options to help manage capital gains and minimize current tax liability. The Adviser does not attempt to limit realized gains when managing the WS Managed FOLIO’s. The FOLIO’s are managed by the Adviser with the goal of total pre-tax return.

The Client will have access to information about the account and it’s holdings online at www.folioclient.com. This includes performance information, holdings in each FOLIO, back-testing and metrics for the FOLIO’s that are subscribed. Account Statements, Confirmations and Tax Documents are all available on-line. In fact, for efficiency and preservation of natural resources all information is supplied only electronically. Client is required to understand and accept the risks of on-line investing.

Client is required to carefully read all disclosure documents before deciding to participate in the FOLIO Advisor program using WS Managed FOLIO’s. These include: the FOLIOfn Advisor Addendum to Investment Advisory, Supervision and Management Agreement; FOLIOfn Account Opening Disclosure Affirmation; and FOLIOfn Advisor Customer Agreement.
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This is not a complete discription of the program, but rather a summary. For more information, be sure to engage with WS Wealth Managers Inc. for a more thorough two way communication.


Investment advisory services by WS Wealth Managers Inc., a registered investment adviser.
Securities and Custody thru FOLIOfn Investments Inc., Member of FINRA and SIPC.
FOLIO Advisor is a program offered to clients of registered investment advisers.
WS Wealth Managers Inc. and FOLIOfn Investments, Inc. are not affiliated.

3rd Quarter Performance-Thru 9/30/2011

10 of 15 WS Managed FOLIO's did better than their benchmarks this quarter, even though the quarter resulted in many FOLIO’s registering substantial declines. Note that the DOW Developed Market World Index was DOWN for the quarter by 19.65%. The domestic S&P500 was down 14.33%.  Markets bounced back a bit in October with a S&P500 gain of 10.8%.

The worst performers were Aggressive Growth, along with pure international SSG Eurozone and International Opportunity.


Classic Defensive, Dividend Income, Preferred Utility Income, Pipeline MLP, and Japan FOLIO's were all ranked #1 in 1 Year annual performance by Money Manager Review.


Preferred Utility Income 4.20%
National Muni 3.95%

Classic Defensive 0.91%

2 Yr Treasury Index Benchmark 0.98%

Hedged Income  -0.26%
Pipeline MLP's -3.80%
Dividend Income -6.71%
Japan Stocks -9.98%
Moderate Core -10.85%

70%Eq/30%Inc Benchmark -11.89%

REIT's & Resources -13.00%
Rising Rates -13.33%

S&P500 Index Benchmark -14.33%


Food Production -19.13

DOW World Index Benchmark -19.65%

International Opportunity -21.83%
Energy Resources -22.92%
SSG Eurozone -24.01%
Aggressive Growth -27.38%

Be sure to contact Wayne Strout at WS Wealth Managers Inc. for more information and a detailed explanation of methodology for calculating performance. Past performance does not predict future performance or ranking and should be just one of many sources of information evaluated. WS Wealth Managers Inc. does not sell performance but rather a disciplined, risk managed investment management process.