1 Results are presented net of actual fees until December 31, 2005; from January 1, 2006 through the present, net composite results are presented net of highest fee. Quarter and YTD returns not annualized. Lifetime benchmark performance is not examined.
2 The information provided is supplemental and complements the MAP Global Balanced Composite Annual Disclosure Presentation. Risk Statistics are presented gross-of-fees. 3 Descriptive statistics derived from holdings based on the aggregate of individual portfolios in the composite. Holdings of individual client portfolios in the composite may differ, sometimes significantly, from those shown. 4 Based on the annualized monthly returns of the aggregated holdings of all the client portfolios invested according to the Global Balanced strategy since inception. Only portfolios that were managed by Managed Asset Portfolios for an entire month are included in the performance calculation of that month. 5 Based on the cumulative performance for the current Benchmark’s (50% MSCI ACWI/50% Merrill Lynch U.S. Corporate A-AAA Rated 1-3 Years Total Return Index, rebalanced monthly) 56 positive quarters and 22 negative quarters between the October 31, 2001 and March 31, 2021 period.
All investments are subject to risk, including the loss of principal.
The continued impact of the novel coronavirus COVID-19 could extend for an undetermined amount of time resulting in a substantial economic downturn and negatively affect worldwide economic conditions. The full extent of COVID-19’simpact remains uncertain and difficult to predict. Any such impact could adversely affect the future investment performance of the composite.
Past performance is no guarantee of future results.
The Global Investment Performance Standards are a trademark of CFA Institute. CFA Institute has not been involved in the preparation or review of this report/advertisement.
* The information provided is supplemental and complements the MAP Global Balanced Composite presentation.
1 Descriptive statistics derived from holdings based on the aggregate of individual client portfolios in the Composite. Holdings of individual client portfolios in the Composite may differ, sometimes significantly, from those shown. This information does not constitute, and should not be construed as, investment advice or recommendations with respect to the securities listed.
Definitions: Yield to Maturity: annualized rate of return an investor will receive if a debt instrument, such as a bond, s held to maturity. Maturity: date at which a debt instrument is due and payable. Duration: the approximate percentage change in price for a 100-basis point change in yield. A duration of 5 means that bond’s price will change by 5% for a 100-basis point change in yield. Duration is valid only for small changes in yield. S&P Rating: evaluation of a company’s credit history and ability to repay its obligations performed by S&P. An obligation rated ‘BBB’ exhibits adequate protection parameters. However, adverse economic conditions or changing circumstances are more likely to lead to a weakened capacity of the obligor to meet its financial commitment on the obligation. Market Capitalization: total value of all the issued and outstanding common stock of a corporation. Dividend Yield: the annual percentage of return earned by an equity investor from the payment of dividends on common or preferred stock. Price to Earnings Ratio (PE):price of a stock divided by the trailing twelve months earnings per share. Price to Sales Ratio: price of a stock divided by the trailing twelve months sales per share. Price to Book Ratio: the ratio of market price of a company’s shares (share price) over its book value of equity. Turnover: the volume of the composite’s holdings that is sold and replaced with new securities annually, expressed as a percentage of the composite’s total assets. Beta: measures the composite’s covariance relative to its benchmark. Sharpe Ratio: the ratio of the return earned over the risk-free rate divided by the variability of the portfolio. It indicates the risk premium return earned per unit of total risk. Alpha: measures how much of the rate of return on the composite is attributable to the manager’s ability to derive above average returns adjusted for risk. R2: measures the strength of the linear relationship between the composite and its benchmark. Upside Capture Ratio: measures the manager’s overall performance to the benchmark’s overall performance, considering only the quarters that are positive in the benchmark. An Upside Capture Ratio of more than 100% indicates a manager that is able to outperform the benchmark during up markets. Downside Capture Ratio: measures the manager’s overall performance to the benchmark’s overall performance, considering only quarters that are negative in the benchmark. A Downside Capture Ratio of less than 100% indicates a manager that is able to outperform the relative benchmark during down markets.
1 For the periods prior to 2017 composite assets are calculated based on composite membership as of 12/31. Composite assets include accounts that enter the composite on 12/31.
MAP Global Balanced Composite seeks to preserve capital while generating current income and moderate long-term capital growth. Investments are allocated between fixed income securities (bonds), combined with selected domestic and foreign stocks and interest-bearing cash reserves, depending upon market conditions. Covered calls may be employed to enhance income stream. The composite’s benchmark is a 50/50 blend of the MSCI ACWI and the Merrill Lynch U.S. Corporate A-AAA Rated 1-3 Years Total Return indices (50% S&P 500 prior to 01/01/2011), rebalanced monthly. Effective 06/30/2020, the secondary benchmark is 50% Merrill Lynch U.S. Corp A-AAA Rated 1-3 Yr. Total Return Index/ 50% MSCI ACWI Value Index (50% S&P 500 prior to 01/01/2011). The addition of the secondary benchmark is because we view the MSCI ACWI Value Index as being complementary because the equity component of the MAP Global Balanced Composite’s portfolio composition is formed through a process centered around value investing techniques. Furthermore, when running a regression analysis over the last 10 years, the equity component of the composite has a higher correlation and R2 to the MSCI ACWI Value Index than its growth counterpart, the MSCI ACWI Growth Index. The MSCI ACWI is a free float adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets. The Merrill Lynch U.S. Corporate A-AAA Rated1-3 Years Total Return index consists of 834 issues with a weighted average maturity of 1.87 years, an average yield of .63%, and an average credit quality of A2.1 The MSCI ACWI Value Index captures large and mid cap securities exhibiting overall value style characteristics across 23 Developed Markets countries and 27 Emerging Markets (EM) countries. The value investment style characteristics for index construction are defined using three variables: book value to price, 12-month forward earnings to price and dividend yield. Returns include the effect of foreign currency exchange rates. Material risks of the composite include market risk, issuer risk, style risk, credit risk, interest rate risk, foreign securities risk, exchange rate risk, regulatory risk, geopolitical risk, and concentration risk (to the extent the adviser emphasizes a particular industry or group of related industries).Investing in securities involves risk of loss of principal that they should be prepared to bear. Illiquid investments are not a material part of the composite. The use of derivatives is limited to covered call writing and is employed periodically to enhance income stream and reduce risk. While writing covered calls can reduce downside risk, the writer of a covered call foregoes the opportunity to benefit from an increase in the value of the underlying interest above the option price. Leverage and short positions are not utilized. Fixed-income holdings will vary from the benchmark’s holdings and may be of different credit quality and duration.
Managed Asset Portfolios, LLC claims compliance with the Global Investment Performance Standards (GIPS®) and has prepared and presented this report in compliance with the GIPS standards. Managed Asset Portfolios, LLC has been independently verified for the period March 31, 2001 through June 30, 2020. A firm that claims compliance with the GIPS standards must establish policies and procedures for complying with all the applicable requirements of the GIPS standards. Verification provides assurance on whether the firm's policies and procedures related to composite and pooled fund maintenance, as well as the calculation, presentation, and distribution of performance, have been designed in compliance with the GIPS standards and have been implemented on a firm-wide basis. The MAP Global Balanced Composite has had a performance examination for the periods July 31, 2001 through June 30, 2020. The verification and performance examination reports are available upon request.
Managed Asset Portfolios, LLC is a registered investment adviser. A list of composite description s, a list of broad distribution pooled funds and performance results are available upon request. Results are based on fully discretionary accounts under management, including those accounts no longer with the firm. Non-fee-paying accounts are included in this composite. Composite performance is presented gross of foreign withholding taxes on dividends. Past performance is not indicative of future results.
The U.S. Dollar is the currency used to express performance. Returns are presented gross and net of management fees and include the reinvestment of all income. Beginning November 30, 2010, the composite contains wrap/bundled fee accounts. Wrap/bundled fee accounts represent the following percentages of composite assets: 2010: 4% 2011: 5%,2012: 4%, 2013: 3%, 2014: 4%, 2015: 5%; 2016: 10%; 2017: 13.8%, 2018: 17.33%,2019: 21.17%, 2020: 25.05%. Wrap/bundled fee accounts pay a fee based on a percentage of assets under management. Wrap fees may include but are not limited to custody fees, trading and execution fees, and performance reporting fees. A significant number of accounts in the composite are custodied with brokers that do not charge trading expenses. Accounts custodied with other brokers may incur trading expenses which may reduce returns. Gross returns are shown as supplemental information and may not include transaction costs. Results are presented net of actual fees until December 31, 2005; from January1, 2006 through the present, net composite results are presented net of highest fee. The annual composite dispersion presented is an asset-weighted standard deviation calculated using gross returns of accounts in the composite the entire year. The 3-Year Standard Deviation represents the annualized standard deviation of actual gross composite and benchmark returns, using the rolling 36-months ended each year-end. Policies for valuing investments, calculating performance, and preparing GIPS Reports are available upon request.
The management fee is generally 1.00% for the first $5,000,000. The fee is negotiable for accounts over $5,000,000.Actual investment advisory fees incurred by clients may vary.
The MAP Global Balanced Composite was created and incepted on July 31, 2001.
GIPS® is a registered trademark of CFA Institute. CFA Institute does not endorse or promote this organization, nor does it warrant the accuracy or quality of the content contained herein.
1Data Courtesy of Bloomberg 3/31/2021