The cornerstone of investing is diversification.  To many, diversification means what percentage of stocks vs. bonds or how many investments you may be holding.  While this may be a starting point, bringing alternative investment strategies into your portfolio will create another level of diversification.  BTS has spent the last 30+ years developing such solutions and believes that it can be the core investment of your portfolio. With the combination of both strategic and tactical solutions, BTS has the ability to move both with and against the currents. While our strategic portfolios give excellent returns in both up and sideways markets, our tactical strategies seek to reduce substantial amounts of downside while still providing upside potential. While no single approach can be the answer, combining these two strategies offers a higher probability of achieving your investment goals.

Avoiding loss of principal is the key to long-term success. Since every market fluctuation contains the potential for gain and loss, the most successful strategy is the one that protects your principal when the market goes down. Over the long term, the sequence of returns in your portfolio is of the utmost importance. In the illustration below, you will see consequences of varying losses in a portfolio. Depending on the size and timing of the loss, it may become difficult or impossible to recoup.

When you invest money some risk will always be present. The idea is to manage the risk in such a way as to leave you less vulnerable to market volatility. Combining our strategic and tactical solutions through our popular Multi-Strategy portfolios affords you a greater opportunity to mitigate such volatility.