Portfolio Returns Comparison--Moderately Aggressive Strategies

Below is how Potomac Wealth Strategies' portfolios (80 Flex III, 80 Flex IV, and 80 Strategic) have performed.  In short, these models show better returns and lower volatility than their competition, even after accounting for our advisory fee.

Other portfolios below provide similar Moderately Aggressive strategies but use low-cost, style-pure index funds from either Fidelity or Vanguard.  Many experts preach this kind of "indexing" because it is cheaper (no advisor to pay, for example) and usually beats "actively managed" mutual funds.  However, Potomac Wealth Strategies disagrees that cheaper must be better.  Just because most actively managed funds don't keep up with their benchmarks does not mean we should give up and settle for ordinary portfolios.  Superior performance, lower volatility, or even both at the same time, can be achieved consistently--if the effort is made to identify and use the best-of-breed mutual funds.

Please look at the data below and see for yourself the advantages offered by Potomac Wealth Strategies' Flex and Strategic portfolio models.  Oh, one more thing...  the returns shown for the Flex and Strategic portfolios have our advisory fee already deducted.  We firmly believe that cost-justification is more important than cost alone.

Thank you for your interest.  Let us know how we can help!

US and Foreign Indexes	3 mo		1 yr		3 yr		5 yr		10 yr		2008
Stock Markets (50-40-10)	0.3%		17.9%		13.4%		3.2%		8.1%		-40.7%
S&P 500	2.9%		20.6%		18.5%		7.0%		7.3%		-37.0%
MSCI EAFE	-1.0%		18.6%		10.0%		-0.6%		7.7%		-43.1%
Barclays Agg Bond--US	-2.3%		-0.7%		3.5%		5.2%		4.5%		5.2%
Barclays Agg Bond--Global	-2.8%		-2.2%		3.6%		3.7%		4.8%		4.8%
Moderately Aggressive	0.3%		15.1%		12.2%		3.8%		7.2%		-32.0%
80 Flex III	-2.3%		6.9%		7.6%		5.8%		7.5%		-15.0%
80 Flex IV	-2.3%		7.2%		7.9%		6.4%		8.3%		-15.2%
80 Strategic	1.7%		21.8%		15.4%		11.0%		10.3%		-32.6%
Fidelity 80	0.4%		15.7%		12.3%		3.9%		7.3%		-32.0%
Russell Growth	-0.8%		12.6%		10.3%		2.9%		6.2%		-36.1%
NOTE 1:  Past performance is no guarantee of specific future results.  This data is presented by Potomac Wealth Strategies, LLC.  This data is from Morningstar and should be accurate, but it has not been independently verified.
NOTE 2:  "Flex" and "Strategic" portfolios are designed and managed by Potomac Wealth Strategies, LLC.  These models show track records of better returns, lower volatility, or both, compared to their benchmarks and popular competitors.
NOTE 3:  "Vanguard 80" and "Fidelity 80" portfolios are low-cost implementations of the Moderately Aggressive strategy.  They are comprised of index funds offered by Vanguard or Fidelity.  This is what many columnists and financial experts on TV would have us use.
NOTE 4:  Russell portfolios are offered by one of the most highly-regarded institutional investment advisors in the country.  These portfolios handle money for dozens of high net-worth people and famous organizations.
NOTE 5:  Nothing on this blog post represents investment advice to any individual or organization.  If the information hereon is of interest to you, please contact us at Garo.Partoyan@PotomacWealthStrategies.com for a consultation.