Defined Risk Separately Managed Accounts (SMAs)

Separately Managed Accounts (SMA)

Our Separately Managed Accounts formats allow long-term investors to manage risk across asset classes tailored to different risk tolerance and objectives.

Define Risk across Global Asset Classes

We offer our SMAs in various equity classes:

Domestic Equity

  • U.S. Large Cap (S&P 500)
  • U.S. Small Cap (Russell 2000)

International Equity

  • Foreign Developed (MSCI EAFE)
  • Emerging Markets (MSCI EM)

Real Assets

  • Gold (GLD)

Tailor the Defined Risk Strategy to Unique Investor Profiles

We offer three variations of the Defined Risk Strategy in SMA format to accommodate a wide range of investor objectives and tolerance levels. 

We do this by adjusting the long-term hedge and/or the options premium trades.  

Prime Variation

Swan Defined Risk Prime Strategy is focused on a smooth investment ride with downside risk management. 

Prime Process:

Step 1: Buy Equity (low-cost ETFs)

Step 2: Hedge the Equity with At-the-Money (ATM) LEAPS

Step 3: Option Premium Trades consisting of buying calls and call spreads, and maybe selling calls.

Prime Materials:

Brochure

Fact Sheet

Performance Comparison Zephyr

Select Variation

Swan Defined Risk Select Strategy seeks long-term growth of capital, while mitigating downside risk.

Select Process:

Step 1: Buy Equity (low-cost ETFs)

Step 2: Hedge the Equity with At-the-Money (ATM) LEAPS

Step 3: Option Premium Trades consisting of buying or selling calls and puts

Select Materials:

Brochure 

Fact Sheet

Performance Comparison Zephyr

Growth Variation

Swan Defined Risk Growth Strategy is more growth oriented, with some downside protection.

Growth Process:

Step 1: Buy Equity (low-cost ETFs) and long-dated calls

Step 2: Hedge the Equity with Out-of-the-Money (OTM) LEAPS

Step 3: Option Premium Trades consisting of buying or selling calls and puts 

Growth Materials:

Brochure

Fact Sheet

Performance Comparison Zephyr

 

You can view additional SMA performance documents here.

 

Where to Access Our Suite of Defined Risk SMAs

Defined Risk Strategy SMAs are available at major custodians and several broker-dealer platforms.

For more information about the strategy and platform availability, please feel free to contact our investment consultants.