Defined Risk Investment Process
How it Works
Invest in Equities
Markets tend to go up over time, so we’re ALWAYS INVESTED in low-cost ETFs
Hedge the Equities
Severe losses can derail investors’ goals, so we’re ALWAYS HEDGED
Seek Additional Return
We actively manage shorter-term options portfolio to help offset the cost of the hedge
When the market drops and the equity loses value, the put option increases in value, and vice-versa.
This counter-balancing investment approach is engineered to NOT lose big.
Simple and Effective.
A HEDGE IS NOT INSURANCE AGAINST LOSSES
The effectiveness of the hedge and degree of downside risk mitigation varies with market conditions. The Defined Risk Strategy can and does have periods of losses.
Repeatable 3 Step Investment Process
Our unique hedged-equity approach is driven by a three-step, rules-based and repeatable investment process, which removes emotions from the investment process.