WHAT WE OFFER
Good macro research should be actionable. This is why our investment strategies sit at the heart of our offering. With the varied needs of our diverse client base in mind, we have created three different model portfolios that we manage actively: a balanced portfolio, a multi-asset absolute return portfolio, and a tactical equity sector portfolio. Each portfolio has its own appropriate benchmark and our objective is to outperform the benchmarks consistently and on a risk adjusted basis:
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The Unbound Balanced Portfolio – Stocks, bonds, and cash are the basic building blocks of any investment portfolio. Every week we determine the optimal allocation to stocks, bonds, and cash based on our projection of their likely relative performance over the next month. We seek to outperform the well-established 60% ACWI (MSCI global equity index) / 40% AGG (Bloomberg core US aggregate bond index) benchmark.
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The Unbound Multi-Asset Absolute Return Portfolio – We implement medium-term macro themes using liquid exchange traded funds (ETFs) that we manage actively. We look for uncorrelated trades that we size based on their contributions to the portfolio's overall risk. We will tactically and opportunistically hedge against short-term market volatility. Our objective is to outperform cash by 10% annually with an information ratio of 2.
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The Unbound US Equity Sector Portfolio – Sector rotation is a key driver of the relative performance of stocks. Every week we decide which of the eleven S&P 500 sectors to overweigh and underweigh using quantitative tools to identify when rotation is set to take place. This portfolio aims to outperform S&P 500.
A key part of accessibility is transparency so that our clients can follow every step we make. In our Beat the Market video podcast released every Sunday and our More Buyers or Sellers? post published every Monday, we discuss how we will position for the following week (rebalancing of the portfolios takes place at the US open on Monday). Each Friday after the US close we publish a consolidated update of our portfolios and trades in "Honest Board". The performance of the portfolios is updated daily on our homepage. In the case of the Unbound Multi-asset Absolute Return portfolio, we are replicating the model portfolio with real money and the brokerage statements are available upon requests.
A new re-alignment of geopolitical forces in recent years is now threatening to unleash a new Cold War, with the US and its allies pitted against China and Russia. While external conflicts escalate, many countries are also experiencing increasing internal conflicts that are contributing to political instability. The growing political tension at both the inter-national and intra-national levels is already having a profound impact on the world. Monitoring this trend has become an important focus for policymakers, corporates, and investors alike. Yet, this is easier said than done. Data on political trends are spotty at best and non-existent for most countries.
In view of this, David Woo Unbound and RIWI, a leading on-line survey technology firm based in Toronto, have teamed up to create the Compass Series of Indexes that provides hard to reach insights that are gathered anonymously and from those that don't typically answer opinion polls. Leveraging RIWI's proprietary Random Domain Intercept online survey technology, the Compass Series of Indexes are established to find answers to the most important political questions of the day. By asking the right questions in a large number of countries, with the right sampling frequencies, the surveys give us an important edge in anticipating and navigating global events risks.
To learn more visit https://riwi.com/compass-series.
Analysis & predictions
Once-in-a-generation changes are happening in the global macro landscape. Understanding their full implications is mission critical whether you are an investor or a manager of a company. Unbound provides independent predictions of major global macro trends, based on careful analysis of the interplay between the new political, economic, geopolitical and market forces. Our macro flagship product is the Macro Angle, a weekly video podcast released every Thursday, in which we provide our outlook on a current macro theme.
