Day Hagan Smart Sector® International
The Day Hagan Smart Sector® International strategy’s investment objective is total return, consisting of capital appreciation and income.
The strategy is actively managed using proprietary investment models. The models seek to quantify the risk vs. reward profile for each region and the broader markets.
Under normal market conditions:
The strategy will invest indirectly through ETFs, primarily in companies located in multiple countries outside the United States.
The strategy utilizes region-specific models and rankings to determine its target allocation to each country and regional location.
The models and rankings are designed to evaluate each region's fundamental, technical, economic, and behavioral indicators, such as a region’s GDP growth, inflation levels, money supply, equity valuations, valuation, analysts’ earnings expectations, technical market trends, and overall investor sentiment.
The indicators for each region focus on each region's risk/reward characteristics with the goal of investing in the regions with the highest probability of maximizing total return.
By combining multiple and diverse indicators, the composite models seek to objectively assess the weight of the evidence and generate geographic allocation recommendations.
The strategy’s risk management model, the Catastrophic Stop Model, defines the strategy’s overall target equity allocation. The allocation to cash may be raised in the event the Catastrophic Stop model generates a sell signal. The model seeks to gauge the equity market’s risk profile, raise cash during periods of severe market stress, and stay invested when risks are defined as low to neutral. The Catastrophic Stop model quantitatively defines the potential risk level of the factors influencing the equity markets.
Benchmark: The strategy will attempt to exceed returns of the MSCI ACWI ex USA Index by overweighting and underweighting its exposure to geographic locations relative to the Index and may also invest in geographic regions not represented in the Index.
Risk Management: The strategy may reduce its overall exposure to ETFs from time to time, as determined by its risk management model.
Executive Team
Past performance may not be indicative of future results. Therefore, no current or prospective client should assume that the future performance of any specific investment or investment strategy (including the investments and/or investment strategies recommended by the adviser) will be profitable or equal to past performance levels. All investment strategies have the potential for profit or loss. Changes in investment strategies, contributions, or withdrawals may materially alter the performance, strategy, and results of your portfolio. Different types of investments involve varying degrees of risk, and there can be no assurance that any specific investment will either be suitable or profitable for a client's investment portfolio. Economic factors, market conditions, and investment strategies will affect the performance of any portfolio, and there are no assurances that it will match or outperform any particular benchmark.
Day Hagan Asset Management is registered as an investment adviser with the SEC and only transacts business in states where it is properly registered or is excluded or exempted from registration requirements. SEC registration does not constitute an endorsement of the firm by the Commission nor does it indicate that the adviser has attained a particular level of skill or ability. Asset allocation and diversification do not ensure or guarantee better performance and cannot eliminate the risk of investment losses.