Conservative Allocation

Our conservative allocation is constructed with an emphasis on minimizing risk. Our goal is to mix assets which have historically demonstrated not only low correlation, but in some cases even negative correlation. This means that while some asset classes may be going up, at the same time others may be going down resulting in reduced portfolio fluctuation.

Clearly, the goal of reduced volatility comes at a price. Because some assets classes are moving in opposite directions, returns are also buffered. Resulting performance has historically demonstrated very little correlation to market indexes. This allocation was designed in the aftermath of the 2008 financial crisis. It is offered as an alternative to low yielding investments and not expected to participate in big market moves. However, returns are expected to be more consistent.