U.S. stocks and bonds are the most familiar asset classes to most investors, but there are many other types of investments worthy of your consideration. All our Adaptive Portfolios choose from a broad basket of 9 different Exchange Traded Funds (ETFs), representing all major asset classes such as U.S., European and Emerging Markets stocks, medium and long term bonds, domestic and international real estate, commodities, and precious metals (gold):
Asset Class | Ticker | ETF Description |
---|---|---|
U.S. Stocks | SPY | SPDR S&P 500 Index Fund |
Medium-Term U.S. Bonds | IEF | iShares Barclays 7-10 Year Treasury Bond |
Long-Term U.S. Bonds | TLT | iShares Barclays 20+ Year Treasury Bond |
European Stocks | IEV | iShares S&P Europe 350 Index |
Emerging Markets Stocks | EEM | iShares MSCI Emerging Markets Index |
U.S. Real Estate (REITs) | ICF | iShares Cohen & Steers Realty Majors |
International Real Estate | RWX | SPDR Dow Jones International Real Estate |
Commodities | DBC | PowerShares DB Commodity Index Tracking Fund |
Gold | GLD | SPDR Gold Shares |
Every asset class performs well during some times, and not so well (or downright terribly) during others. If you "cast a wide net" (include as many asset classes as possible), and use an effective tactical asset allocation strategy (to adjust the portfolio composition regularly), you improve your odds of being invested in the right asset classes at the right time.
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