Academic research is clear: Value stocks and momentum stocks have earned higher returns, historically.
Alpha Architect provides best of breed asset allocation that mirrors premier strategies used by top family offices and institutions.
Although several robo-advisors offer passive portfolios, we believe in the benefits of active management
Simulated historical performance from 1/1/1927 – 12/31/2014
The results are hypothetical results and are NOT an indicator of future results and do NOT represent returns that any investor actually attained. Indexes are unmanaged, do not reflect management or trading fees, and one cannot invest directly in an index. Additional information regarding the construction of these results is available upon request. Click here for key assumptions:
Graph reflects portfolio allocations to asset classes based on risk profile. Our equity exposure involves a combination of U.S. and international equities. "Equity" portfolio (far right) is a "pure" equity portfolio for investors seeking equities only.
Mitigate downside risk and grow your capital. Sophisticated solutions that achieve these objectives were only available to high-powered institutions…until now.
We leverage technology to deliver an automated retirement solution. Protect downside risk, while simultaneously allowing upside participation. Our solution for wealthy investors can now be accessed by everyone.
Fee estimates are based on current fee structure, but are subject to change. Underlying fees for the comparison above reflect the “Moderate” risk exposure. Fees can be higher or lower for different risk exposures. Management fee estimate based on Parametrix 2015 report and underlying fee for Traditional Active (1%) is based on estimates from the Forbes Article: “The Heavy Toll of Investment Fees”
We will never deliver the lowest cost strategy in the market--that’s not our goal--but we do seek to be the best value in the market. We want to deliver high quality at half the cost of traditional active offerings.
An investor can certainly use a passive robo-advisor and pay an all-in fee of around 0.4%--not a terrible decision. However, you sometimes get what you pay for…
We seek to deliver downside protection, evidence-based stock selection, and asset allocation models that work. Passive robo-advisors don’t deliver any of these things!
Other advisors place you in buy-and-hold portfolios because there is nobody to blame when the portfolios suffer a major loss.
But market drawdowns can decimate a portfolio. It can take years, if not decades to recover
Our robust risk management system is designed to mitigate major market drawdowns and help preserve capital when markets correct.
Read our book and get informed about downside protection.
Simulated historical performance from 1/1/1992 – 12/31/2014. Data not available for all asset classes prior to 1/1/1992. The results are hypothetical results and are NOT an indicator of future results and do NOT represent returns that any investor actually attained. Indexes are unmanaged, do not reflect management or trading fees, and one cannot invest directly in an index. Additional information regarding the construction of these results is available upon request. Click here for key assumptions:
The RAA Active strategy results are expensed as follows:
- Active RAA Bal: 0.40% transaction costs, 0.25% mgmt fee, 0.57% fund fees
- Active RAA Mod: 0.60% transaction costs, 0.25% mgmt fee, 0.62% fund fees
- Active RAA Agg: 0.80% transaction costs, 0.25% mgmt fee, 0.70% fund fees
- Active RAA Equity: 1.00% transaction costs, 0.25% mgmt fee, 0.79% fund fees
The RAA Passive strategy results are expensed as follows:
- Passive RAA Bal: 0.00% transaction costs, 0.25% mgmt fee, 0.34% fund fees
- Passive RAA Mod: 0.00% transaction costs, 0.25% mgmt fee, 0.27% fund fees
- Passive RAA Agg: 0.00% transaction costs, 0.25% mgmt fee, 0.24% fund fees
- Passive RAA Equity: 0.00% transaction costs, 0.25% mgmt fee, 0.21% fund fees
Today, investors are often faced with two basic options:
1. Buy expensive advice from traditional advisory firms that seek downside protection and outperformance
2. Buy cheap advice from automated advisory firms that seek passive exposure to buy-and-hold portfolios
Our ethos is to empower investors via education. We believe you want to understand your investments, and you want to be a disciplined investor. By joining our team, you take the first step towards becoming an educated, disciplined investor. We're here to help!
Our team is a leading provider of affordable active management. From advising multi-billion dollar family offices to implementing robust portfolios, we bring a depth of research insights and practical experience that few firms can offer at affordable cost.
Join us on our journey to provide Affordable. Active. Alpha
Email us at [email protected], Call us at 215-882-9983