Blueprint Launches a Risk-Managed, Global Asset Allocation Fund

March 31, 2020

Blueprint Fund Management logo

Blueprint Investment Partners, an asset manager and pioneer in the creation of systematic, process-driven, and transparent investment strategies for financial advisors, announced today the launch of the Blueprint Growth Fund (BLUIX). BLUIX seeks to manage risk by dynamically adjusting global asset class exposures in response to market changes (e.g., expanding volatility, rising/falling rates, and inflation). The Fund is managed by Blueprint Fund Management and sub-advised by Blueprint Investment Partners.

“While we did not plan to have BLUIX go live during a bear market, this period highlights why we originally launched the Fund,” says Blueprint CEO and Co-Founder Jon Robinson. “The underlying strategy is designed for advisors looking to manage downside risk, with a plan for increasing exposure when this environment changes.

For example, at its “baseline,” BLUIX is a globally diversified 80/20 model that systematically adjusts monthly depending on the current environment. Going into March, the model adjusted to a more defensive posture, which essentially equated to a 45/55 model.

The portfolio is managed in accordance with Blueprint’s systematic investing process, which provides rules that answer all questions about what, when, and how much to buy and sell. The process is sophisticated, yet straightforward, something advisors can explain to their clients in plain English.

At a high level, it’s as simple as this:

  • Price is king – it’s the chief input for decision-making
  • Exposure is reduced when prices fall
  • Exposure is increased when prices rise
  • The primary goal is to perpetually work from a higher base
  • Preserving as much capital as possible during market declines – while still participating in market gains – is the best way to accomplish the above goal, in our opinion
  • Financial advisor’s clients are more likely to stay anchored to their financial plans when using a rules-based process like Blueprint’s because it leaves no room for emotional decision-making during times of euphoria or fear
  • Time diversification creates a tax-friendly portfolio that can sell losing positions quickly while holding gains as long as uptrends persist

BLUIX replicates the Blueprint Tactical Growth Strategy, the flagship strategy of the firm since its founding.

“The Fund can be used by advisors as an alternative to liquid alternative investments, within a tactical allocation, and/or as a core allocation component,” adds Robinson. “Employing a dynamic strategy gives advisors flexibility to more precisely determine how to best utilize BLUIX.”

About Blueprint Investment Partners

Blueprint Investment Partners is an asset manager and pioneer in the creation of systematic, process-driven, and transparent investment strategies for financial advisors and institutions. The firm was founded on a management philosophy honed by its co-founders during the 2008 financial crisis. Blueprint applies a rules-based approach to both asset class and time diversification, instilling discipline and removing human bias during emotionally charged market environments. The firm offers and sub-advises a suite of distinct global investment portfolios that are distinguished by their risk tolerance or ESG objectives, with the models delivered as separately managed account strategies and a mutual fund.

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