IT’S ALL IN THE NAME
We call this portfolio “The Conservative Progressive” based on it’s short-term objective, long-term objective, and it’s overall behavior. By design, this portfolio is the most stable of the SAGE Portfolio offerings. We consider it to be a growth portfolio based on its long-term objective of exceeding the long-term real return and risk-adjusted return of both the S&P 500 and the All-Cap World Index. It also has an objective of reducing portfolio volatility in the short-term. While the behavior of this portfolio is conservative in nature relative to its respective benchmarks, the decision to utilize any of the SAGE Portfolio offerings requires a progressive mindset that is open to less common approaches to investing. When thinking of someone who is not so close-minded that nothing gets in, or so open-minded that their brain falls out, we perhaps envision someone who is cautiously open-minded. When we think of an approach to investing that is open to new ideas but cautious in nature, we think of a conservative progressive. Or, to use a sports analogy… The desire to finish the marathon ahead of most of the pack is there, but at a measured pace.
The Conservative Progressive is a diversified growth-oriented investment portfolio that seeks to achieve a long-term risk-adjusted and real return that exceeds both the S&P 500 and the All-Cap World Index over time. The portfolio is built with a 100% exposure to bonds with a rules-based option strategy overlaid on top of the underlying holdings. The expected behavior of this portfolio is that it should experience a range of volatility that is less than the S&P 500 as well as the All Cap World Index in both the short-term and long-term. With a focus on reducing short-term volatility, it should also be expected that its performance will lag its respective benchmarks in years where domestic and international equities have greater than average performance. While this behavioral characteristic should be expected, it cannot be guaranteed.
Performance data reported for this portfolio assumes an allocation that is assigned to fixed daily percentages. Reported performance will therefore vary from actual investment performance due to the "drift" of underlying holdings that are based on pre-assigned ranges of allowable variance. Reported performance does not take into account management fees, transaction costs, or taxes. Performance and risk metrics are self-reported, and while we strive to be as accurate as possible and believe our data to be credible, we cannot guarantee its accuracy. Year-to-date performance is reported on a quarterly basis for periods ending March 31, June 30, September 30, and December 31 respectively. Investment dollars allocated to this portfolio should be long-term in nature and should not be considered for short-term application under any circumstances. Please consult your financial professional to determine if this portfolio is in your best interest.