The Milwaukee Company’s Smart-Beta Performance Report is a weekly review of the performance of ten indexes that are managed using “smart-beta” asset allocation theories. This Report is for informational purposes only and should not be regarded as a substitute for independent research and personalized investment advice.
Comment’s on this week’s report:
- A new year brings new year-to-date returns with S&P 500 Equal Weighted, High Dividend, and Value equity portfolios leading the way. Meanwhile, Low Volatility, Sector Rotation, and Momentum trail the other portfolios with negative returns.
- Over the trailing 3 months Sector Rotation and Momentum struggled the most, while Conservative and Balanced portfolios (which include an allocation to bonds) performed the best as investors fled to less volatile securities.
- Despite the relatively poor performance from Momentum based equities over the trailing 3-months, over trialing 3 year and 5 year periods they have largely outperformed.