Tactical Asset Mix Shifts

On rare occasions, Panoply will execute large shifts from the policy asset mix to reduce risk. As an example, in our longest running portfolio, the following equity weightings applied during the recent recession:

Policy Equity Weight Equity Weight End 2007 Equity Weight Mid 2009 Equity Weight End 2009
69% 51% 65% 70%

These changes are guided by our proprietary Weather Watch and by stock prices relative to the Panoply valuations.

Tactical shifts are likely to be infrequent (on the order of every 5 years) and large (on the order of 10 – 30% of the portfolio).

We do not attempt to “time the market”. Rather, these shifts are intended to provide “buying power” in anticipation of market drops of 20% or more. .