Four Quadrant Portfolio

Portfolio Specification

Policy

Rebalancing Interval Quarterly
Weights Algorithm Equal Risk Contribution
Weights Algorithm Look-back 3 Years
Weights Updating Interval Quarterly

Benchmark

Simple 60/40

This portfolio is listed on the Community Portfolios page.

Portfolio Description

The portfolio is comprised of 4 thematic composites designed to capture different market environments.

  • “Inflationary Boom”

  • “Deflationary Boom”

  • “Inflationary Bust”

  • “Deflationary Bust”

Policy Report

Backtest Report

From to (8y 11m 29d)

Returns (annualized)

Portfolio 6.68%
Benchmark 8.37%

Risk (annualized)

Portfolio 8.68%
Benchmark 11.06%

Sharpe (annualized)

Portfolio 0.50
Benchmark 0.56

Excess Return (annualized)

-1.70%

Tracking Error (annualized)

6.97%

Information Ratio

-0.24
Statistic Portfolio Benchmark
Downside Volatility 9.20% 11.90%
Sortino Ratio 0.47 0.52
Calmar Ratio 0.20 0.28
Ulcer Index 15.18 15.26
Max Drawdown 21.26% 22.16%
VaR (99% Confidence) $-2,019 $-2,571
VaR (99.9% Confidence) $-2,682 $-3,416
Beta to Benchmark 0.61 N/A

Value at Risk (VaR) is calculated off a $10,000 portfolio value.

Growth Charts

Historical Weights

Return Distribution

Excess Kurtosis

6.33

Skew

-0.48
Data Table
Factor Coefficients
Factor Portfolio Benchmark Excess
Market Factor 0.3532 0.6190 -0.2658
Style Factor -0.0056 -0.0015 -0.0040
Size Factor 0.0262 0.0145 0.0117
U.S. Tilt (Non U.S.) -0.0753 -0.0120 -0.0633
Duration Factor 0.8785 0.3301 0.5484
Yield Curve Factor 0.0440 0.0203 0.0237
Inflation Factor 0.5013 0.0318 0.4695

Adjusted R2

Portfolio 0.85
Benchmark 0.99

Intercept

Portfolio -0.00
Benchmark -0.00

Factor Attribution