Carroll Financial announces launch of
ADAPTIVE WEALTH STRATEGIES U.S. RISK MANAGEMENT INDEX
Low cost, tax-efficient, and alpha-generating strategies built for your clients.
January 22, 2021
Global X Funds, the New York-based provider of exchange-traded funds (ETFs), recently launched the Global X Adaptive U.S. Risk Management ETF (NYSE: ONOF). The fund will track the Adaptive Wealth Strategies U.S. Risk Management Index, (AWSRSK), which seeks to navigate various market conditions by dynamically allocating between equity or fixed income exposures.
Our Adaptive Wealth Strategies U.S. Risk Management Index employs four technical indicators to dictate the percentage equity exposure we own at any given time. The underlying indicators utilize trend-following, behavioral, and technical aspects that have academically sound investment philosophies and significant historical advantages designed with the goal of reducing risk. Our concept employs a moving average, drawdown, MACD, and volatility as indicators to move between equity and fixed income exposure. Each indicator receives an equal vote in the strategy. The end goals of the strategy are to remain invested in equities as much as possible, achieve a low tracking-error, and provide significant downside protection.
BUILT FOR ADVISORS, BY ADVISORS.
“We wanted simplicity in our adaptive risk management index and did so by combining four common indicators into the strategy,” said Kristopher Carroll, CFA®, CFP® Chief Executive Officer at Carroll Financial Associates. “We have utilized a strategy of looking at different indicators in our private portfolios for many years and have now decided to turn what were once discretionary input signals into one rules based index.”
“It has been great to see over a year’s worth of work building this index finally come to completion. This process illustrates that we continue to be dedicated to the interests of our clients,” said Patrick Bobbins, CFA®, CIMA® Director of Investments & Research at Carroll Financial Associates. “We are excited to work with Global X on this initiative, to bring our underlying index to a broader market. The adaptive risk management index exhibits creativity in how we serve our clients and I’m excited to see this implemented.”
“This is a great example of our continuing efforts to add value to our client relationships. Taxes are an important consideration in the investment process for our individual clients and this will provide a more efficient tax structure for them,” said Larry Carroll, CFP® Chairman Emeritus at Carroll Financial Associates. “We continue to look for strategies that add value for our clients and with the market at all-time highs, this ETF product is a timely answer for managing portfolio risk.”
ABOUT CARROLL FINANCIAL
Carroll Financial’s philosophy is, and always has been: “The best interest of the client is the only interest that matters.” Established in 1980, Carroll Financial is one of the Carolina region’s oldest and largest independent, family-owned financial planning and wealth management firms. The firm now manages over $4 billion in client assets and their 36 financial advisors, which includes 30 Certified Financial Planners™, offer many years of experience and customized financial planning to clients. Carroll Financial’s unique investment approach is focused on five core sectors: simplicity, risk, income, diversification, and price. Their clients have the potential to benefit from this adaptive investment strategy which is backed by a solid academic foundation.
For more information about the Adaptive U.S. Risk Management Index and Carroll Financial visit:
4521 Sharon Road, Suite 400, Charlotte, NC 28211
Adaptive Wealth Strategies (AWS) is a department of Carroll Financial Associates, Inc., a registered investment adviser. Registration does not imply a certain level of skill or training. Carroll Financial and AWS are not affiliated with any other named party. Global X Management Company LLC is not affiliated with AWS or Carroll Financial Associates, Inc.
The information provided herein is not a recommendation or solicitation to buy or sell an investment product.
Global X Management Company LLC serves as an advisor to Global X Funds. The Funds are distributed by SEI Investments Distribution Co. (SIDCO), which is not affiliated with Global X Management Company LLC. Global X Funds are not sponsored, endorsed, issued, sold or promoted by AWS, nor does AWS make any representations regarding the advisability of investing in the Global X Funds. Neither SIDCO nor Global X is affiliated with AWS.
Investing involves risk, including the possible loss of principal. There is no guarantee that the Fund will achieve a high degree of correlation to the Underlying Index and therefore achieve its investment objective. Market disruptions and regulatory restrictions could have an adverse effect on the Fund’s ability to adjust its exposure to the required levels in order to track the Underlying Index. Indices are unmanaged and do not include the effect of fees, expenses or sales charges. One cannot invest directly in an index. Performance of companies in the financial sector may be adversely impacted by many factors, including, among others, government regulations, economic conditions, credit rating downgrades, changes in interest rates, and decreased liquidity in credit markets. ONOF is non-diversified. The performance of any index is not indicative of the performance of any investment and does not take into account the effects of inflation and the fees and expenses associated with investing. Past performance is not an indication or guarantee of future results.
Shares of ETFs are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Brokerage commissions will reduce returns. Global X NAVs are calculated using prices as of 4:00 PM Eastern Time. The closing price is the Mid-Point between the Bid and Ask price as of the close of exchange. Closing price returns do not represent the returns you would receive if you traded shares at other times.
Since the Fund’s shares typically do not trade in the secondary market until several days after the Fund’s inception, for the period from inception to the first day of secondary market trading in Shares, the NAV of the Fund is used to calculate market returns.
Carefully consider the Fund’s investment objectives, risks, and charges and expenses before investing. This and other information can be found in the Fund’s summary or full prospectuses. Please read the prospectus carefully before investing.Awards & Recognition, Carroll Financial, In the News, Investing & Saving, Investment Management