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.



Tuesday, October 12, 2010

WS Moderate Core I Description

Diversified core portfolio designed for long term growth and moderate risk. Normal allocation is 70% Equity (20% International and 50% Domestic) with 30% Fixed Income. Fixed Income includes mixture of Corporate and Treasury securities---average maturity and duration are adjusted according to CIO's assessment of market conditions. Can move to as much as 60% short term tactical Fixed Income allocation using 7-10 year Treasury ETF if CIO believes that Equity markets are extremely overvalued. Slight Value orientation with a basic Core style. Designed for reasonable current income with target of 4% yield from dividends and interest. Standard Deviation targeted at 60-75% of S&P500 with an estimated Beta of 0.70.

This FOLIO is designed to provide a "balanced" exposure to domestic and international markets. Hence it is designed to  be the "core" holding in any long term investment portfolio in the WS FOLIO Advisor Program.  It is expected that allocation to this FOLIO may be reduced during periods when client determines that equities are substantially overvalued.

Past performance does not predict future performance.

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