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 6m 26d)

Returns (annualized)

Portfolio 6.66%
Benchmark 8.18%

Risk (annualized)

Portfolio 8.67%
Benchmark 11.05%

Sharpe (annualized)

Portfolio 0.50
Benchmark 0.54

Excess Return (annualized)

-1.52%

Tracking Error (annualized)

7.00%

Information Ratio

-0.22
Statistic Portfolio Benchmark
Downside Volatility 9.14% 11.92%
Sortino Ratio 0.48 0.50
Calmar Ratio 0.21 0.27
Ulcer Index 15.15 15.24
Max Drawdown 21.26% 22.16%
VaR (99% Confidence) $-2,016 $-2,569
VaR (99.9% Confidence) $-2,679 $-3,412
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

6.61

Skew

-0.46
Data Table
Factor Coefficients
Factor Portfolio Benchmark Excess
Market Factor 0.3572 0.6194 -0.2622
Style Factor -0.0083 -0.0016 -0.0067
Size Factor 0.0299 0.0149 0.0150
U.S. Tilt (Non U.S.) -0.0819 -0.0131 -0.0688
Duration Factor 0.8846 0.3303 0.5543
Yield Curve Factor 0.0471 0.0204 0.0267
Inflation Factor 0.4856 0.0308 0.4548

Adjusted R2

Portfolio 0.86
Benchmark 0.99

Intercept

Portfolio -0.00
Benchmark 0.00

Factor Attribution