The Full Caboodle Investment Strategy
Highly-Customized UMA Strategy
The Full-Caboodle solution is designed for investors seeking maximum customization and broad diversification through our Unified Managed Account (UMA) platform. This comprehensive strategy is offered in two formats—one designed for qualified accounts and another for non-qualified (taxable) accounts. Each model contains both equity and fixed income allocations, tailored according to the investor’s risk tolerance, and may incorporate professional management via Fund Strategist Portfolios (FSPs) or Separately Managed Accounts (SMAs).
Equity Allocation
The equity portion is diversified into distinct sleeves, each with a specific objective. These sleeves may include:
- Style-based investing (e.g., growth, value, core)
- Sector strategies
- Tactical growth and tactical income sleeves
- Alternative investments
Fixed Income Allocation
The fixed income component is broadly diversified through a range of fixed income securities, typically accessed via low-cost ETFs. These may include, but are not limited to:
- U.S. Treasuries (Bills, Notes, Bonds)
- Treasury Inflation-Protected Securities (TIPS)
- Zero-Coupon Bonds (STRIPS)
- Municipal and Corporate Bonds
- Agency Bonds
- Mortgage-Backed Securities
- Foreign and Emerging Market Bonds
- Collateralized Loan Obligations (CLOs)
- Floating Rate Securities
To manage expenses effectively, we prioritize the use of low-cost ETFs and individual stocks where appropriate. The allocation between sleeves is determined by each client’s risk score, ensuring personalized portfolio construction.
Multi-Manager Integration
The Full-Caboodle solution includes a multi-manager structure, providing access to institutional-quality asset managers—often from established Wall Street firms—without the traditional multi-million-dollar account minimums. This structure enables:
- Consolidated reporting, typically issuing one Form 1099 per account
- Direct ownership of individual securities (stocks, bonds, ETFs, and more)
- Greater flexibility, control, and tax efficiency, including the ability to engage in tax-loss harvesting in consultation with your financial professional—a benefit not available in pooled investment vehicles such as mutual funds or ETFs
Investment Strategy
As market conditions evolve, portfolios are actively monitored and dynamically rebalanced. This strategy is designed to capitalize on market pullbacks and capture gains during rallies, while staying aligned with the investor’s long-term objectives. The use of broad diversification across asset classes, investment styles, and strategies is intended to help mitigate risk while maintaining flexibility and tax efficiency.
Disclosures
- The custom Full-Caboodle strategy is intended for investors with a range of investment time horizons and risk tolerances, but it may not be suitable for all individuals.
- Diversification does not ensure a profit or protect against losses in a declining market.
- Momentum investing does not guarantee returns and may magnify losses during downturns.
- All investments involve risk, including possible loss of principal.
- International investments carry additional risks, including currency fluctuations and political or economic instability.
- Bond investments are subject to interest rate risk, credit risk, and inflation risk.
- Hedging strategies involve additional costs and may not be effective at all times.
- Past performance is not indicative of future results.
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