The Cash Indicator
We have found that the excessive correlation of certain volatility indicators related to the equity and fixed income markets provides us with an early warning system and a well-defined process for identifying extreme outlier markets. Our studies have shown that significant preservation of capital and enhanced return can be achieved when we are able to exit the equity and alternative markets during these events. Our process allows us to increase the cash allocation up to 25% or 50% of the portfolio during those events and, hopefully, redeploy that cash in the future at more attractive valuations.
Why Invest With Us
- Stringer Asset Management's core portfolios provide three very visual, easy to understand solutions. Our clients can see where they fall in the spectrum of available options and the well-defined portfolio that fits their plan objectives.
- Investors want to know that during turbulent markets there is an effort to identify and take advantage of the opportunities that exist in every market, and allows for a tilt to a more environmentally relevant asset allocation regardless of what the general market is providing in terms of returns.
- Our clients demand a strategy that attempts to protect their assets during extreme market downturns. The Cash Indicator (CI) offers a well-defined methodology to get out of the way during outlier events and back in when the markets begin to normalize. Importantly, the CI takes the emotion out of the decision making process.
Manage the risk and the returns take care of themselves.