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 9m 27d)

Returns (annualized)

Portfolio 7.15%
Benchmark 8.40%

Risk (annualized)

Portfolio 8.68%
Benchmark 11.06%

Sharpe (annualized)

Portfolio 0.55
Benchmark 0.56

Excess Return (annualized)

-1.26%

Tracking Error (annualized)

7.02%

Information Ratio

-0.18
Statistic Portfolio Benchmark
Downside Volatility 9.17% 11.89%
Sortino Ratio 0.52 0.52
Calmar Ratio 0.23 0.28
Ulcer Index 15.17 15.25
Max Drawdown 21.26% 22.16%
VaR (99% Confidence) $-2,017 $-2,572
VaR (99.9% Confidence) $-2,680 $-3,417
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

6.43

Skew

-0.47
Data Table
Factor Coefficients
Factor Portfolio Benchmark Excess
Market Factor 0.3532 0.6189 -0.2658
Style Factor -0.0064 -0.0015 -0.0049
Size Factor 0.0282 0.0148 0.0135
U.S. Tilt (Non U.S.) -0.0758 -0.0122 -0.0637
Duration Factor 0.8805 0.3302 0.5504
Yield Curve Factor 0.0445 0.0204 0.0241
Inflation Factor 0.4985 0.0316 0.4669

Adjusted R2

Portfolio 0.85
Benchmark 0.99

Intercept

Portfolio -0.00
Benchmark 0.00

Factor Attribution