Hedge

Hedge Models: These are what truly distinguish Smarter portfolios from their less dynamic peers, the hedge models are positioned according to the VAPR algorithm. The hedge models seek to preserve gains and even profit from bear markets and to amplify returns in bull markets.

Aggressive Hedge: This is our most aggressive hedge model, levered in bull market to triple amplify indexed returns and in bear markets to return double inverse index movements. In lamens, if the hedge model is long and the market returns 1% then over the same period the aggressive hedge will return 3%. Conversely, if the hedge is short and the market falls 1% the hedge model will return 2% over the same period.

Moderate Hedge: This is our moderate hedge model, levered in bull market to double amplify indexed returns and in bear markets to return single inverse index movements. In lamens, if the hedge model is long and the market returns 1% then over the same period the moderate hedge will return 2%. Conversely, if the hedge is short and the market falls 1% the hedge model will return 1% over the same period.

Conservative Hedge: This is our most conservative hedge model, in bull market to single amplify indexed returns and in bear markets to preserve returns using strategic bond positions. In lamens, if the hedge model is long and the market returns 1% then over the same period the conservative hedge will return 1%. Conversely, when the market is anticipated to fall by VAPR we will move to non-correlated positions that we believe will be a strong medium for preservation.

Contact Caitlin John, LLC

(810) 355-1325
info@caitlinjohn.com
Fax: (810) 227-2558
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The information, data, and opinions contained herein this communication are provided solely for informational purposes only. They are not warranted to be correct, complete, or accurate. To the extent permitted by law, Caitlin John does not accept any liability arising from the use of this communication. You should not assume that any information, data, or opinions contained herein serves as the receipt of, or a substitute for, personalized investment advice from Caitlin John or from any other investment professional. Past performance is not an indication of future results and actual results may vary. Investing carriers an inherent element of risk, including the risk of losing invested principal.