If you are a financial advisor or financial planner looking for an experienced partner to help manage your client's investment portfolios, our sub-advising service could be the solution for you. With this service, you partner with us as we manage diversified investment portfolios for your clients based on a unique business cycle strategy. As sub-advisors with a strong emphasis on risk management we take over the day to day investment decision making process while you remain focused on growing your business and servicing your clients’ needs.


Leveraging quantitative macroeconomic models and risk management algorithms we seek to provide risk adjusted-returns that will exceed their counterparts over a long period of time.  Some quarters we will outperform while others we will underperform. However, it is our core belief that avoiding large losses to a portfolio is more important than "beating" the market.  Our investment strategies at one extreme draw on our quantitative assessment of very long-term secular trends in the economic cycle, equities and fixed income markets; at the other, our stringent risk control strategies; the heart of our approach though, focuses on the business cycle and the markets that correlate with specific public and proprietary economic indicators. Business activity is never smooth, and investors are continually bombarded with economic noise. How can an investor make sense of this tangled economic knot? In reality, there is an order to the system and the cycle is continually progressing through a set sequence of events or turning points. Always being alert and anticipating the next infection point in the business cycle creates a dynamically managed portfolios that take advantage of profit opportunities and also protects one's wealth from the inevitable cyclical declines. We call this strategy "Advance & Protect" which is a simple way to say that we have strategies in place to participate in growth when economic environment suggests growth while being defensive on the inverse of the cycle.


What we believe is the business cycle is actually a debt cycle based on legendary Ray Dalio's unorthodox view of the economy. Ray's basic theory is that debt is the main driver of the business cycle because it allows us to consume more than we produce when we acquire it and forces us to consume less than we produce when we pay it back.  This creates a cycle of growth when people are spending in excess of what they produce and less consumption when eventually they have to pay it back. By measuring real GDP and comparing it to the capacity (productivity) of our nations GDP we are able to graph this cycle.


As far as I am aware we are the only ones that have been able to graph the business cycle. However, I am confident that others like Ray Dalio have done something similar. Once we have a general idea of the business cycle we can then use our economic models to determine what stage of the cycle we are in. As shown in the chart to the left, a powerful thesis on the market and the business cycle evolves, helping us tactically positions our portfolio's for the future.


Your clients' portfolios are comprised of tactically shifting asset allocation that can be more defensive but never target over your clients' risk suitability.  You can sleep easier knowing your clients’ investment portfolios are positioned to participate in market gains while maintaining a defensive structure capable of withstanding even the most challenging environments.


Our core portfolios are designed to accommodate a complete spectrum of a clients risk level; from conservative to aggressive.  Your clients are never more aggressive than there corresponding risk level, however, in times of economic uncertainty, a portfolio becomes more defensive to avoid the long-term impact of recessions.  Our conservative approach is based on quantitative business cycle investing and risk management algorithms.


The sector rotation portfolio is designed to supplement our core models. Our core models are inherently designed to be more conservative when the market is weak, sometimes there is a trade-off from this strategy by underperforming the overall market. To counter react this, our sector rotation model is optimized to add an additional risk-adjusted return to a portfolio for clients that want both growth and defense while providing diversification beyond investing in individual stocks and focusing on an entire industry or sector.


Focusing on quality growth stock we are able to add aggressive growth to a portfolio without the trade-off of diversification like its counterpart the sector rotation model. Like our sector rotation model, this portfolio is designed to be an add-on to our core models.   When investing in individual stocks additional risk to a portfolio is expected; our model attempts to control this risk, but proper risk assessment of your client's goals is suggested before investing in high risk-reward portfolios such as individual socks.



You will also have access to our Market updates and commentary from our strategies allowing you direct access to the ones making the investment decisions, not a wholesaler that may or may not be in the know.  You will also have access to our pitchbooks, marketing, and IPS. Providing you with everything you need to implement our models in your practice.


We don't believe in creating a black box environment, so having us as a sub-advisor you and your practice will have access to our economic model and research. This way you can become part of the conversation and know why we are positioning the portfolios when we make changes. Empowering your firm with the same competitive advantage that we offer our clients.


We also provide custom solutions for qualifying practices.  From portfolio optimization using modern portfolio theory to custom investment portfolios with or without our algorithms. Bring your asset management issues and we will help find a solution.


Images and rates of return are illustrative only. They do not represent any actual investment and are not a guarantee of return. Any investment involves potential loss of principal.

Diversification and asset allocation strategies do not assure a profit or protect against loss. Past performance is no guarantee of future results. Investing involves risk. Depending on the types of investments, there may be varying degrees of risk. Investors should be prepared to bear a loss, including a total loss of principal.



Office: 817-500-0556

Fax: 817-500-0559

550 Reserve Street

Suite 190

Southlake, TX 76092