S&P 500 1.5x Leverage Separately Managed Account Strategy
Uses Leverage During Periods of Favorable U.S. Stock Market Trends
The S&P 500 1.5x Leverage Strategy applies the Blueprint Investment Partners systematic investing process to the U.S. equity market. This repeatable trend-following process creates a portfolio that seeks to consistently:
- Allocate heavily to the U.S. large-cap equity asset class
- Use leverage during periods of favorable market trends, which aims to deliver outperformance during low volatility, uptrend conditions
- Remove leverage and reduce equity exposure during negative or uncertain trends
The goal is to provide financial advisors with a risk-managed portfolio capable of providing repeatable alpha.
Snapshot
| Overview | Diversified exposure to U.S. large caps via the S&P 500 Index, with leverage (1.5x) used during periods of favorable market trends |
| Typical Allocation |
When long-term trend is positive: Holds an ETF that tracks the S&P 500 Index When long-term trend is negative: Holds fixed income When intermediate-term trend is positive: Adds a leveraged ETF to offer magnified exposure to the S&P 500 Index |
| Investing Process | Uses systematic investing to dynamically adjust the portfolio’s allocations on a monthly basis |
Built with Intentionality For Financial Advisors
Our S&P 500 1.5x Leverage SMA is built with intentionality, seeking to:
Use transparent, repeatable, and straightforward rules advisors can actually explain to clients in plain English
Generate returns while also seeking to preserve capital during prolonged market downtrends
Optimize for behavioral finance by removing human bias during emotionally charged market environments
Manage risk through trend following, moving away from U.S. large caps when in downtrends and into fixed income instruments
Protect against substantial downside losses
Dynamically adjust holdings on a monthly basis
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If you’d like to learn more about our risk-managed S&P 500 1.5x Leverage Strategy