Swan Overlays

Defining Risk — Enhancing Portfolios

Enabling investors to efficiently achieve long-term policy objectives.

Our custom overlay strategies help investors mitigate systematic risk and/or seek enhanced return.

 

Overlay Managers – Since 1997.

Why Swan Overlay Strategies

The risks to capital are always present.

While systemic risk cannot be diversified away, we believe it must be hedged away.

 

Define Risk, Improve Outcomes – that’s Investing Redefined®.

Utilizing Swan Overlay Strategies

Swan Overlay Strategies can be used to:

  • Mitigate impact of large market drawdowns
  • Manage volatility in underlying portfolios
  • Customize hedge to desired risk/return targets
  • Seek to enhance overall portfolio returns
  • Hedge concentrated positions
  • Tax-Managed Transitions

Competitive Advantages

Swan Defined Risk Approach

Track Record

Demonstrated performance through multiple bear markets and market crises since 1997

Management

Actively managed, seeking to optimize return and minimize losses

Strategy

Sophisticated, designed for investor best interest, customized to individual return objectives and risk tolerance

Typical Overlay Approach

Generally untested, with limited track record, and/or launched after 2008

Passively managed: set it and forget it. Minimize manager workload

Designed for simplicity or ease of execution, applying cookie-cutter or “one-size fits-all” approach

The Swan Overlays have a few differences from our traditional Defined Risk Investing process, including:

  • Investors may use their own underlying equity portfolios
  • Customized hedging and income strategies are available
Swan Overlay Offerings

Swan Hedged Equity Overlays are designed for client portfolios built on the following core asset classes:

  • U.S. Large Cap Equity
  • U.S. Small Cap Equity
  • Foreign Developed Equity
  • Emerging Markets Equity
  • Fixed Income
  • Gold

Swan Custom Overlays are also suited for:

  • Multi-Asset Portfolios
  • Concentrated Stock
  • Tax-Managed Transitions
Keys to Swan Hedged Equity Overlays

With the risks in marketplace mounting, there is increased interest in risk-managed strategies among the professional advisor and institutional money manager communities.