US Balanced truVol® Risk Control 5% Index
Targets 5% portfolio volatility by dynamically adjusting exposure among stocks, Treasury bonds, and cash on a daily basis.
Overview
The US Balanced truVol® Risk Control 5% Index is designed to provide exposure to both US equities and Treasuries while targeting a constant volatility level of 5%. The Index uses the truVol® Risk Control Engine (RCE) to help optimize weighting between the SPDR S&P 500 ETF (SPY) and the iShares 7-10 Year Treasury Bond ETF (IEF). The strategy also uses the RCE to maintain a daily volatility target of 5%, using non-remunerating cash to reduce exposure if necessary.
The Index is rebalanced daily and calculated in excess of a daily accrual of the Federal Funds Effective Rate (Excess Return) and includes an index fee of 50 basis points.
Key Facts
| Ticker | SFBAL |
|---|---|
| Type | Excess Return |
| Weighting | Volatility Driven |
| Rebalancing | Daily |
| Base Date | Dec 31, 2003 |
| Inception Date | Jul 31, 2021 |
Documents
Performance
| Name | Last | Day | 3M | YTD | 1Y | 3Y | 10Y |
|---|---|---|---|---|---|---|---|
| US Balanced truVol® Risk Control 5% Index | 266.02 | 0.22% | -1.61% | -1.83% | -0.75% | -1.73% | 4.59% |
Disclaimer
All information for an index prior to its Inception Date is back-tested, based on the methodology that was in effect on the Inception Date. Back-tested performance, which is hypothetical and not actual performance, can frequently result in material differences between back-tested results and actual results achieved by an investment strategy.
For additional legal information and disclosures on the limitations of back-tested performance, please visit here.
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