3. Leverage the breadth of the ETF Universe.
ETFs provide a liquid and transparent vehicle to access global markets. With over 1,900 US listed ETFs spanning $3.8 trillion of assets under management, the investor now has unparalleled flexibility to construct a low cost, well balanced portfolio.
The ETF marketplace offers a tremendous amount of tools to protect portfolios. This includes more traditional risk off asset classes such as core fixed income, commodities, and currencies, along with efficient access to a variety of defensive sectors. Additionally, ETF Sponsors have launched low-volatility equity ETFs designed to provide diversified exposure to lower volatility US and international market segments.
Despite temptation to target risk management around only the largest market downturns, a well-rounded risk strategy will help you weather any storm.
For more detail, check out our Asset Allocation report here.
Sage Advisory Services, Ltd. Co. is a registered investment adviser that provides investment management services for a variety of institutions and high net worth individuals. This report is for informational purposes only and is not intended as investment advice or an offer or solicitation with respect to the purchase or sale of any security, strategy or investment product. Investors should make their own decisions on investment strategies based on their specific investment objectives and financial circumstances. All investments contain risk and may lose value. Past performance is not a guarantee of future results. For additional information on Sage and its investment management services, please view our web site at www.sageadvisory.com, or refer to our Form ADV, which is available upon request by calling 512.327.5530.