Is the subscription to the macro Asset allocation portfolio a different expense from the 3 ETF portfolio which I already subscribe to and on what basis would I choose one over the other?
1. ETF Portfolio: 5 ETFs, rebalances weekly. No explicit volatility target. Historically has been a sub 10% volatility, i.e low risk. Much more sensitive to market moves.
2. Asset Allocation: 3 ETFs, rebalances monthly. 10% volatility target, i.e. offers the risk equivalent to a 60/40 portfolio. Slower moving, so will not respond as quickly to market sell-offs.
Both options are good for investors, it just depends on your objectives.
Is the subscription to the macro Asset allocation portfolio a different expense from the 3 ETF portfolio which I already subscribe to and on what basis would I choose one over the other?
Hi Jim. You have two options:
1. ETF Portfolio: 5 ETFs, rebalances weekly. No explicit volatility target. Historically has been a sub 10% volatility, i.e low risk. Much more sensitive to market moves.
2. Asset Allocation: 3 ETFs, rebalances monthly. 10% volatility target, i.e. offers the risk equivalent to a 60/40 portfolio. Slower moving, so will not respond as quickly to market sell-offs.
Both options are good for investors, it just depends on your objectives.