How Innealta Capital Uses ETFs in Tactical Portfolios

More asset management firms such as Innealta Capital are using ETFs exclusively in tactical portfolios designed for investors and financial advisors.

ETF Trends Editor Tom Lydon sits down with Scott Silverman, Innealta Capital’s Senior VP of Business Development, to discuss this important and growing trend in the ETF business.

With over 1,400 exchange traded products listed in the U.S., there is a lot of noise and clutter to overcome when choosing individual ETFs for client portfolios.

“It’s a lot to get your arms around,” Silverman says. “Advisors are looking for professionals who can maybe wade through that sea.”

He tells Lydon that Innealta uses ETFs in “rotation” strategies such as the firm’s two flagship products focusing on 28 countries, and U.S. sectors.

The strategies are dynamic and can swing between being fully invested in equity ETFs to being completely on the sidelines in a diversified basket of fixed income, Silverman explains.

The allocations are determined by four factors: macroeconomic environment, risk, fundamentals and a technical component based on momentum.

Watch the video to see the full interview.

The opinions and forecasts expressed herein are solely those of John Spence, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.

 Article Source: ETFTrends