The Diversified Equity Multi-manager portfolio attempts to provide less volatility and fewer drawdowns than a broad market index such as the S&P 500. This Multi-manager portfolio attempts to outperform the broad equity markets.
The process begins by applying a selection of quantitative and qualitative filters to identify portfolios that are suitable for the Diversified Equity mandate. The Multi-manager portfolio will have an equity focus although some of the portfolios included may utilize ETFs or closed-end funds to gain exposure to a variety of asset classes such as fixed income. Risk-return characteristics such as high Sharpe ratios, consistent performance and attractive diversification properties are considered to derive the final allocations.
Research is undertaken to ensure the final allocations are risk-efficient. The Diversified Equity Multi-manager portfolio is designed to provide marginally less volatility and drawdowns than a broad market index such as the S&P 500.
The Diversified Equity Multi-manager portfolio is made up of 4 to 8 different investment portfolios from different managers. The Multi-manager portfolio will have a minimum allocation of 10% and a maximum allocation of 30% to each of the underlying portfolios.
Each individual manager will maintain their own well-defined set of rules for selling individual positions. Portfolios may be removed from the Multi-manager portfolio if they are not performing as expected in the market environment or if Covestor’s investment team believes that there is a better replacement manager based on its evaluation processes.
Simulated performance of multi-manager portfolios is calculated as a weighted average daily performance of the underlying portfolios. It reflects the allocations through time of portfolios included in the multi-manager portfolio. A simulated trading cost is included for changes to allocations, for example when the multi-manager portfolio is rebalanced. Performance may differ from what a client might achieve. Fees are subtracted from the performance on a monthly basis to present the net return.
Past performance is no guarantee of future results.
Before investing, consider the portfolios’ investment objectives, risks, charges, and expenses.
Neither diversification nor asset allocation ensures a profit or guarantees against loss.
The individual portfolios that comprise the Multi-Manager Portfolios are selected based on certain selection criteria. Portfolio selection by Covestor is not a personalized recommendation or endorsement of any portfolio for an investor's individual circumstances.
Portfolio performance fluctuates and periods of market strength may not be repeated.
Disclosures related to the portfolios and managers comprising the Multi-Manager Portfolios can be found at the underlying portfolio and manager pages.
Simulated performance of multi-manager portfolios is calculated as a weighted average daily performance of the underlying portfolios. It reflects the allocations through time of portfolios included in the multi-manager portfolio. The simulation does not include trading costs for changes to allocations, for example when the multi-manager portfolio is rebalanced. This means performance will be overstated, though not materially, relative to what a client might achieve. Fees are subtracted from the performance on a monthly basis to present the net return.
Performance of the portfolio manager's account is calculated by Covestor on a daily time-weighted basis, including cash, dividends and earnings distributions, and broker commissions. Manager returns include trades that fail Covestor's trading rules, do not reflect any Covestor suitability or risk score restrictions and are exclusive of Covestor fees. More
Average client returns ("Avg Client") are calculated by Covestor and are composed of the average, daily, time weighted returns of all active investments in the underlying portfolio. These daily average returns are then linked together for the timeframe requested. In addition, these returns include cash, dividends and earnings distributions, brokerage commissions, Covestor advisory fees, and reflect individual client suitability and risk score restrictions. More
All graph data is as of the end of day for the referenced period, unless otherwise specified. The investment minimum is the minimum investment required to follow a particular portfolio. The minimum amount is determined by Covestor, based on the characteristics of the underlying portfolio. It should not be considered as specific investment advice for your investment situation.
The performance charts are provided for informational purposes only, and should not be used as the basis for making an investment decision. Variables such as corporate actions or foreign exchange may affect daily performance displays. We rely on mathematical formulas, computer programs, and pricing information from third-party vendors to provide these returns. Neither Covestor nor any of its data or content providers shall be liable for any errors in this information or any actions taken by you in reliance upon this information.
Benchmark returns have been calculated by Covestor using a time-weighted calculation of daily index valuations. Benchmarks presented are total return and therefore inclusive of cash, dividends and earnings distributions but not transaction costs. More
Leverage indicates the level of margin utilized and is calculated by dividing gross exposure by portfolio net liquidation value.
All Portfolio Manager information including personal data, profiles, strategies, monthly investment reports, and historical results outside of Covestor has been provided by the Portfolio Manager. Covestor makes no representation or warranty of its accuracy, completeness or relevance and it does not represent the opinions of Covestor. Transaction history is available upon request. Portfolio classifications (Approach, Asset Class) are provided by Covestor, and are intended to serve as a general guide.
These securities are currently held in the portfolio manager's brokerage account. Holdings in the "Replicable Holdings" table currently pass Covestor's trading rules, subject to individual client constraints. Eligibility for replication may change over time. Actual client holdings may vary.
These transactions were executed in the portfolio manager's brokerage account. Those marked as "Replicable Transactions" passed Covestor's trading rules and were eligible for replication at the time of execution, subject to individual client constraints. Eligibility for replication may change over time. Actual client trade activity may vary.