Main Management has 5 specialized strategies briefly
described below. If you would like detailed information please
contact us.
Core
Main Management’s Core portfolio is a directional
long only equity strategy. The strategy holds between 8 and 20
ETFs that provide exposure to U.S. and International equities.
The holdings are allocated amongst sectors, sub-sectors, styles
and international investments that have greater return characteristics
than the overall market. The Core portfolio is benchmark aware
and uses the SPY (S&P 500) as a core holding. This strategy
was designed to achieve capital preservation with low fees, low
turnover and minimal taxes. Our turnover has been roughly 25%
since inception with 98% long term capital gains. Our objective
for the Core portfolio is to seek superior risk adjusted returns
by investing in high quality sectors, sub-sectors, styles and
international investments that are out of favor or undervalued.
The portfolio will maintain exposure in all sectors of the S&P
500. Benchmark is the S&P 500. Inception: August 2002.
Active
Main Management’s Active portfolio is similar
to the Core portfolio described above. The main difference is
that it does not hold the SPY (S&P 500) ETF. The Active strategy
consists of sector, sub-sector, style and international investments
that have greater return characteristics than the overall market.
The Active portfolio is benchmark agnostic. We can have a maximum
exposure of 30% in one sector and a minimum of 0%. This strategy
was designed to achieve capital appreciation with low fees, low
turnover and minimal taxes. Our objective for the Active portfolio
is to seek higher returns with slightly more risk than the Core
portfolio by tactically investing in high quality sectors, sub-sectors,
styles and international investments that are out of favor or
undervalued. Benchmark is the S&P 500. Inception: January
2005.
Buy-Write
Main Management’s Buy-Write portfolio is
a long only equity and fixed income strategy that seeks to generate
income and dampen volatility from selling covered calls on its
underlying holdings. The Buy-Write strategy seeks to generate
an income stream from selling covered calls at the money, or slightly
out of the money, on multiple asset classes. This strategy was
designed to achieve capital preservation and provide income with
low fees, low turnover and minimal taxes. Our objective for the
Buy-Write portfolio is to seek superior risk adjusted returns
by investing in multiple asset classes and to generate premium
income by selling covered calls, at a monthly duration, on the
underlying investments in the portfolio. The underlying asset
class selection is supported by fundamental research with reversion-to-the-mean
coupled with a catalyst. Benchmark is the CBOE BXM. Inception:
September 2004.
All Asset
Main Management’s All Asset or Core Endowment
Portfolio (CEP) is a multi asset class strategy that provides
exposure to U.S. Equities, International Equities; Developed and
Emerging, Fixed Income; U.S. Treasury Bonds and Sovereign Debt,
and Diversifying Investments[1].
The Objective of the All Asset strategy is to provide investors
with tax-efficient, equity-like returns with substantially lower
risk than the S&P 500 index[2].
We tactically allocate amongst the aforementioned asset classes
from a broad list of ETFs depending on our proactive forward view
of the markets. We look for undervalued asset classes that have
a catalyst to revert back up to their appropriate valuations.
Our risk management includes controlling volatility through diversification,
allocating to non-correlating asset classes and selling covered-calls
on a portion of the equity position. The option overlay helps
to dampen volatility and at times will provide an additional income
stream. In addition to separately managed accounts, the
All Asset strategy is managed in LP form and is a choice on Nationwide’s
COLI/BOLI platform. Benchmark is the 60/40 (60% S&P 500 and
40% Lehman Bond) Inception: November 2006. To view a presentation
on the All Asset please click on the following link: http://www.brainshark.com/mullintbg/NationwideGBAPortfolio.
International
Main Management's International portfolio is a
long only international equity strategy allocated amongst countries
with clear risk reward tilt. We screen the universe of developed
and developing countries ex the U.S. and focus on low market capitalization
to GDP ratio, low price-to-earnings growth (PEG) ratio, current
account/GDP ratio and current political and balance sheet risk.
Our Investment Committee includes international expertise. This
product is benchmarked to the MSCI All Country World ex US index.
Inception: December 2007.
For more information about Main Management
and the above strategies please contact
us
415-217-5800
[1]
Diversifying Investments are defined at non-correlated assets
that consist of investments made for purposes other than generating
returns from investments in U.S. and foreign equity markets or
fixed income securities. These may include but are not limited
to Treasury Inflation Protected Securities (TIPS), Commodities,
U.S. Real Estate, International Real Estate and Currencies.
[2] We believe, consistent with expert
research and scholarly opinion that diversified and disciplined
asset allocation is an effective approach to generating equity-like
returns with a reduced risk profile.
