Sierra Conservative Allocation Program

Ideal for investors seeking global diversification in a variety of asset classes.

Program Description

The Sierra Conservative Allocation Program has two investment objectives: to provide long-term total return and to limit volatility and downside risk. The Program’s multi-asset diversification strategy employs unusually broad diversification across asset classes, markets, industries and issuers. A passive “buy and hold” strategy is not employed. As part of an integrated risk-management discipline, the Program monitors underlying holdings daily and applies a trailing stop discipline to each holding, based on a proprietary approach, to limit the impact of any sustained decline in a given asset class or holding. The overall asset allocation of the Program is not fixed. It can and does change significantly over time, re-allocating the portfolio in response to trend changes in the U.S. and global economy and in various investment markets.

Goals*

Targets an average annual total return of 6%-7% or more per year, after fees, while limiting downside risk to 5%, even in a bad month or quarter.

*Although Sierra believes its risk-mitigating disciplines will continue to limit the impact of major market declines, no assurance can be given that these goals can be consistently achieved in the future.