Strategic and Flex Portfolio Returns through March 2016

US and Foreign Indexes		3 mo	1 yr	2 yr	3 yr	5 yr	10 yr	2008
Stock Markets (72-21-7)		0.1%	-3.6%	1.4%	6.2%	6.0%	3.4%	-41.0%
S&P 500		0.8%	-0.4%	4.9%	9.5%	9.2%	4.8%	-38.5%
Dow Jones Industrial Avg		1.5%	-0.5%	3.7%	6.7%	7.5%	4.8%	-33.8%
MSCI EAFE		-3.7%	-10.7%	-7.1%	-0.5%	-0.6%	-1.0%	-45.1%
MSCI EM		5.4%	-14.1%	-8.3%	-6.8%	-6.5%	0.6%	-54.5%
Barclays Agg Bond--US		3.0%	2.0%	3.8%	2.5%	3.8%	4.9%	5.2%
Citi WGBI nonUSD (foreign bonds)		9.1%	7.7%	-1.4%	-0.2%	0.2%	4.0%	10.1%
Aggressive (90% stocks-10% bonds)		0.9%	-4.7%	-0.4%	4.1%	4.5%	3.4%	-36.0%
95 Flex V		1.1%	-3.9%	-0.5%	4.4%	5.0%		-19.1%
95 Strategic III		3.1%	0.3%	4.1%	7.6%	8.4%	7.9%	-30.9%
95 Schwab index		0.0%	-3.1%	2.3%	7.7%	7.9%	5.6%	-34.6%
95 Strategic USA II		3.3%	1.3%	5.8%	9.9%	10.8%	9.5%	-25.8%
Confluence Value Opportunities		3.5%	0.7%		17.6%	17.7%	12.1%	-22.3%
Confluence Equity Income		7.7%	5.1%		11.2%	12.3%	9.1%	-18.9%
WealthFront 9		1.6%	-5.0%	-0.5%	3.9%	4.2%	4.4%	-38.0%
American Funds Port Ser Growth		-0.7%	-2.7%	2.5%	8.7%	7.9%	6.1%	-40.8%
Moderately Aggressive (75-25)		1.2%	-3.7%	0.0%	3.6%	4.2%	3.7%	-31.0%
80 Flex V		1.0%	-3.7%	-0.4%	4.1%	4.8%		-16.9%
80 Strategic II		0.9%	-4.2%	0.4%	5.2%	7.0%	6.9%	-30.2%
80 Strategic III		3.0%	0.5%	4.0%	7.0%	8.1%	7.8%	-27.7%
80 USA tilt		1.0%	-3.5%	1.1%	5.8%	7.2%	6.5%	-28.5%
80 Schwab index		0.2%	-1.7%	3.0%	7.1%	7.8%	5.6%	-30.6%
Money 75		0.8%	-3.2%	1.5%	6.0%	6.4%	5.7%	-32.7%
American Funds Port Ser Gr+Inc		1.9%	-0.6%	2.5%	6.3%	6.9%	5.6%	-29.6%
Moderate (60-40)		1.5%	-2.7%	0.5%	3.1%	4.0%	3.9%	-25.6%
60 Flex V		1.0%	-2.9%	0.0%	3.6%	4.9%		-13.1%
60 Strategic III		3.0%	0.5%	3.6%	5.8%	7.2%	7.3%	-23.3%
60 Schwab index		0.8%	-2.0%	2.1%	5.4%	6.0%	4.8%	-25.6%
American Funds Port Ser Balanced		1.3%	0.1%	3.0%	6.6%	7.0%	5.7%	-28.3%
Moderately Conservative (40-60)		1.6%	-1.3%	-0.5%	2.3%	3.4%	3.9%	-17.4%
40 Flex V		1.2%	-2.1%	0.6%	3.3%	5.1%	7.4%	-10.4%
40 Strategic III		2.9%	0.4%	2.8%	4.2%	6.0%	6.8%	-16.4%
40 Schwab Index		0.7%	0.3%	3.5%	5.0%	6.5%	5.0%	-19.7%
Goldman Sachs Income Builder		0.9%	-4.5%	-0.8%	3.2%	6.0%	5.4%	-23.3%
Conservative (20-80)		2.1%	0.0%	0.6%	1.2%	2.5%	3.8%	-8.4%
20 Flex V		1.0%	-1.5%	0.8%	2.5%	4.9%		-5.2%
20 Strategic III		2.8%	0.5%	1.8%	2.1%	4.0%	5.1%	-8.6%
20 Schwab index		1.1%	1.9%	4.3%	4.4%	6.1%	4.6%	-13.9%
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", "Strategic", and "Index" models are crafted/run by Potomac Wealth Strategies.  They show history of better returns, lower volatility, or both--or, with the Index models, closer tracking--vs benchmarks and competitors.
NOTE 3:  "XX Schwab index" models are low-cost portfolios.  They are comprised of index funds available free of transaction charges to my clients at Schwab.  This is what many might recommend due to low-costs and portfolio efficiency.
NOTE 4:  Nothing on this blog post represents investment advice to any individual or organization.  If the information hereon is of interest to you, please contact me at Garo.Partoyan@PotomacWealthStrategies.com for a consultation.

Active vs. Passive Investment Management--Hartford's Take On It

While I favor "active management", the use of mutual funds that are actively-managed per research and/or rules-based methodologies, there are sensible uses for "passive management" also.  So Potomac Wealth Strategies offers both.  The Strategic and Flex portfolio models use actively-managed mutual funds, and the Schwab Index funds use passively-managed "index funds" for the stock portion and an actively-managed tax-free (federal) bond mutual fund.

The Strategic models are best for long-term investors who don't mind occasional capital gains taxes being part of their overall financial picture, and they are ideal for use in tax-deferred accounts (IRAs, 401k-type accounts, and variable annuities).

The Schwab Index models are suitable for taxable accounts (individual and joint brokerage accounts), and for folks who just are not sold on "active management".

For more on the pros and cons of active vs. passive, here is an article from Hartford.  Best-known as an insurance company, Hartford also has a family of mutual funds, some of which are excellent.

Please contact me with any questions about the portfolios I manage for you, or if you want to know more about how I may be able to help you organize, save, and invest in pursuit of your long-term financial goals.

Thank you.

--Gary Partoyan
Financial Advisor
Potomac Wealth Strategies, LLC

Portfolio Model Performance Through September 2015

Here are performance #s for the portfolios I run for most of my clients, and some alternatives for comparison.

I recommend moving from the Flex models to Strategic models.  Please contact me with any questions.

Thank you!

--Gary Partoyan

US and Foreign Indexes		3 mo	1 yr	3 yr	5 yr	10 yr	2008
Stock Markets (50-40-10)		-8.4%	-5.7%	7.9%	7.8%	5.0%	-39.7%
S&P 500		-6.4%	-0.6%	12.4%	13.3%	6.8%	-37.0%
MSCI EAFE		-10.2%	-8.7%	5.6%	4.0%	3.0%	-43.4%
US OE Diversified Emg Mkts		-15.9%	-18.8%	-4.1%	-3.4%	3.8%	-54.4%
Barclays Agg Bond--US		1.2%	2.9%	1.2%	3.1%	4.6%	5.2%
Barclays Agg Bond--Global		0.9%	-3.3%	-1.6%	0.8%	3.7%	4.8%
Aggressive		-7.4%	-4.1%	8.2%	8.0%	4.9%	-36.3%
95 Flex V		-7.5%	-6.0%	5.6%	6.4%		-19.1%
95 Strategic II		-8.3%	-3.1%	9.6%	10.3%	7.8%	-35.9%
95 Schwab index		-9.0%	-2.9%	9.4%	9.4%	5.7%	-37.2%
Confluence Value Opportunities		-5.7%	7.7%	22.9%	19.0%	12.2%	-22.3%
WealthFront 9		-9.7%	-7.3%	5.1%	5.9%		-38.0%
Moderately Aggressive		-6.4%	-3.6%	7.2%	7.4%	5.0%	-32.0%
80 Flex V		-7.0%	-5.6%	5.2%	6.1%	7.1%	-16.9%
80 Strategic II		-7.4%	-3.4%	7.7%	8.6%	7.3%	-30.0%
80 USA tilt		-6.7%	-2.4%	8.2%	9.0%	6.8%	-28.5%
80 Schwab index (muni)		-7.1%	-1.9%	8.3%	8.5%	5.5%	-32.3%
Moderate		-4.5%	-2.6%	5.4%	6.0%	4.9%	-23.1%
60 Flex V		-6.2%	-5.0%	4.7%	5.9%		-13.1%
60 Strategic II		-6.0%	-3.0%	6.2%	7.5%	6.9%	-23.9%
60 Schwab index (muni)		-4.9%	-0.5%	7.2%	7.8%	5.5%	-26.4%
Goldman Sachs Income Builder		-5.0%	-4.4%	5.7%	7.8%	5.7%	-23.3%
American Funds Balanced Port		-4.2%	-0.8%	7.6%	8.2%	5.9%	-28.2%
Moderately Conservative		-2.6%	-1.6%	3.6%	4.6%	4.8%	-13.3%
40 Flex V		-5.4%	-4.6%	4.4%	5.9%		-13.3%
40 Strategic II		-4.7%	-2.5%	6.1%	7.0%	6.9%	-17.7%
40 Schwab Index (muni)		-2.8%	0.8%	5.8%	6.8%	5.2%	-20.1%
Conservative		-0.6%	-0.7%	1.7%	3.2%	4.5%	-2.5%
20 Flex V		-4.4%	-3.8%	3.6%	5.5%		-5.2%
20 Strategic II		-3.3%	-2.1%	4.5%	5.5%	6.1%	-10.5%
20 Schwab index (muni)		-0.8%	1.8%	4.3%	5.4%	4.7%	-13.7%
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", "Strategic", and "Index" models are crafted/run by Potomac Wealth Strategies.  They show history of better returns, lower volatility, or both--or, with the Index models, closer tracking--vs benchmarks and competitors.
NOTE 3:  "XX Schwab index" models are low-cost portfolios.  They are comprised of index funds available free of transaction charges to my clients at Schwab.  This is what many might recommend due to low-costs and portfolio efficiency.
NOTE 4:  Nothing on this blog post represents investment advice to any individual or organization.  If the information hereon is of interest to you, please contact me at Garo.Partoyan@PotomacWealthStrategies.com for a consultation.

Portfolio Model Performance through June 2015

US and Foreign Indexes		3 mo	1 yr	3 yr	5 yr	10 yr	2008
Stock Markets (50-40-10)		0.3%	1.1%	13.5%	12.9%	6.8%	-39.7%
S&P 500		0.3%	7.4%	17.3%	17.3%	7.9%	-37.0%
MSCI EAFE		0.6%	-4.2%	12.0%	9.5%	5.1%	-43.4%
US OE Diversified Emg Mkts		0.7%	-6.7%	3.8%	3.5%	7.3%	-54.4%
Barclays Agg Bond--US		-1.7%	1.9%	1.8%	3.4%	4.4%	5.2%
Barclays Agg Bond--Global		-1.2%	-7.1%	-0.8%	2.1%	3.5%	4.8%
Ibbotson Aggressive		0.2%	3.2%	14.2%	13.7%	6.9%	-35.5%
Aggressive		0.4%	1.3%	13.2%	12.3%	6.4%	-36.3%
95 Flex V		-1.4%	-0.7%	10.0%	10.1%		-19.1%
95 Strategic II		-0.5%	2.2%	15.1%	14.8%	9.3%	-35.9%
95 Schwab index		0.5%	2.7%	15.1%	14.3%	7.3%	-37.2%
WealthFront 9		0.5%	-0.1%	10.9%	11.0%		-38.0%
Ibbotson Moderately Aggressive		-0.1%	2.7%	11.8%	11.9%	6.6%	-28.5%
Moderately Aggressive		0.1%	0.8%	11.7%	11.3%	6.3%	-32.0%
80 Flex V		-1.2%	-0.6%	9.5%	9.7%		-16.9%
80 Strategic II		-0.7%	1.3%	12.6%	12.5%	8.6%	-30.0%
80 Schwab index		0.1%	2.6%	12.6%	12.3%	6.7%	-32.1%
Ibbotson Moderate		-0.3%	2.4%	9.4%	10.0%	6.1%	-21.2%
Moderate		-0.3%	0.0%	8.7%	9.2%	5.8%	-23.1%
60 Flex V		-0.8%	-0.3%	8.7%	9.1%		-13.1%
60 Strategic II		-0.8%	0.9%	10.2%	10.6%	7.9%	-23.9%
60 Schwab index		-0.3%	2.7%	9.9%	10.2%	6.0%	-25.6%
Goldman Sachs Income Builder		-0.7%	-0.9%	9.3%	10.6%	6.4%	-23.3%
American Funds Balanced Port		-0.5%	3.1%	10.9%	11.3%	6.8%	-28.2%
Moderately Conservative		-0.6%	-0.8%	5.8%	7.0%	5.3%	-13.3%
40 Flex V		-0.6%	0.0%	8.2%	8.9%		-13.3%
40 Strategic II		-0.7%	1.4%	9.4%	9.5%	7.5%	-17.7%
40 Schwab Index		-0.8%	2.5%	7.2%	7.9%	5.1%	-18.8%
Conservative		-1.0%	-1.6%	2.9%	4.7%	4.6%	-2.5%
20 Flex V		-0.2%	0.3%	7.2%	8.0%		-5.2%
20 Strategic II		-0.8%	0.9%	6.9%	7.3%	6.5%	-10.5%
20 Schwab index		-1.2%	2.0%	4.3%	5.4%	4.0%	-11.7%
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", "Strategic", and "Index" models are crafted/run by Potomac Wealth Strategies.  They show history of better returns, lower volatility, or both--or, with the Index models, closer tracking--vs benchmarks and competitors.
NOTE 3:  "XX Schwab index" models are low-cost portfolios.  They are comprised of index funds available free of transaction charges to my clients at Schwab.  This is what many might recommend due to low-costs and portfolio efficiency.
NOTE 4:  Nothing on this blog post represents investment advice to any individual or organization.  If the information hereon is of interest to you, please contact me at Garo.Partoyan@PotomacWealthStrategies.com for a consultation.

Strategic and Flex Model Performance Through May 2015

US and Foreign Indexes		3 mo	1 yr	3 yr	5 yr	10 yr	2008
Stock Markets (50-40-10)		1.4%	5.4%	16.5%	12.6%	7.2%	-39.7%
S&P 500		0.6%	11.7%	19.5%	16.4%	8.0%	-37.0%
MSCI EAFE		2.0%	-0.6%	15.5%	9.8%	5.5%	-43.4%
US OE Diversified Emg Mkts		1.3%	-2.1%	5.9%	3.9%	7.8%	-54.4%
Barclays Agg Bond--US		-0.1%	3.0%	2.2%	3.8%	4.5%	5.2%
Barclays Agg Bond--Global		-1.7%	-6.0%	-0.5%	2.5%	3.5%	4.8%
Ibbotson Aggressive		0.9%	7.0%	16.7%	13.4%	7.2%	-35.5%
Aggressive		1.2%	5.0%	15.9%	12.2%	6.7%	-36.3%
95 Flex V		-0.4%	3.0%	12.1%	10.0%	9.0%	-19.1%
95 Strategic II		0.2%	5.5%	17.2%	14.2%	9.6%	-35.9%
95 Schwab index		1.5%	6.9%	17.6%	13.6%	7.6%	-37.2%
WealthFront 9		0.9%	4.0%	13.3%	10.7%	7.5%	-38.0%
Ibbotson Moderately Aggressive		0.7%	6.0%	13.8%	11.8%	6.8%	-28.5%
Moderately Aggressive		0.9%	4.2%	14.1%	11.3%	6.6%	-32.0%
80 Flex V		-0.2%	2.9%	11.5%	9.7%	8.9%	-16.9%
80 Strategic II		0.1%	4.2%	14.5%	12.2%	8.8%	-30.0%
80 Schwab index		1.2%	6.2%	14.8%	11.9%	7.0%	-32.1%
Ibbotson Moderate		0.5%	5.1%	11.0%	9.9%	6.3%	-21.2%
Moderate		0.4%	2.8%	10.5%	9.3%	6.1%	-23.1%
60 Flex V		0.2%	2.7%	10.6%	9.2%	8.9%	-13.1%
60 Strategic II		0.0%	3.5%	11.7%	10.5%	8.2%	-23.9%
60 Schwab index		0.8%	5.7%	11.6%	10.0%	6.2%	-25.6%
Goldman Sachs Income Builder		0.8%	2.9%	11.0%	10.5%	6.6%	-23.3%
American Funds Balanced Port		0.5%	6.0%	12.8%	11.3%	7.1%	-28.2%
Moderately Conservative		0.0%	1.3%	7.1%	7.2%	5.4%	-13.3%
40 Flex V		0.3%	2.6%	10.0%	9.0%	8.9%	-13.3%
40 Strategic II		0.0%	3.8%	10.8%	9.5%	7.7%	-17.7%
40 Schwab Index		0.5%	4.8%	8.3%	7.9%	5.3%	-18.8%
Conservative		-0.4%	-0.1%	3.6%	5.1%	4.7%	-2.5%
20 Flex V		0.8%	2.4%	8.8%	8.3%	8.6%	-5.2%
20 Strategic II		-0.2%	2.9%	8.1%	7.4%	6.7%	-10.5%
20 Schwab index		0.2%	3.7%	5.1%	5.7%	4.2%	-11.7%
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", "Strategic", and "Index" models are crafted/run by Potomac Wealth Strategies.  They show history of better returns, lower volatility, or both--or, with the Index models, closer tracking--vs benchmarks and competitors.
NOTE 3:  "XX Schwab index" models are low-cost portfolios.  They are comprised of index funds available free of transaction charges to my clients at Schwab.  This is what many might recommend due to low-costs and portfolio efficiency.
NOTE 4:  Nothing on this blog post represents investment advice to any individual or organization.  If the information hereon is of interest to you, please contact me at Garo.Partoyan@PotomacWealthStrategies.com for a consultation.

Strategic and Flex Portfolio Performance Through April 2015

US and Foreign Indexes		3 mo	1 yr	3 yr	5 yr	10 yr	2008
Stock Mkts (50us 40for 10em)		6.9%	7.3%	13.0%	10.4%	7.3%	-39.7%
S&P 500 (100usa)		0.6%	11.8%	19.7%	16.5%	8.1%	-37.0%
Ibbotson Aggressive		5.6%	8.5%	13.7%	11.4%	7.3%	-35.5%
Aggressive		6.1%	6.6%	12.7%	10.1%	6.8%	-36.3%
95 Flex V		2.7%	4.2%	9.8%	8.4%		-19.1%
95 Strategic II		5.5%	7.1%	14.2%	12.5%	9.8%	-35.9%
95 Schwab index		6.2%	7.5%	14.1%	11.3%	7.8%	-37.2%
WealthFront 9		6.3%	6.2%	10.4%	8.9%		-38.0%
Ibbotson Moderately Aggressive		4.3%	7.5%	11.6%	10.2%	7.0%	-28.5%
Moderately Aggressive		5.3%	5.9%	11.4%	9.5%	6.7%	-32.0%
80 Flex V		2.6%	4.0%	9.3%	8.1%		-16.9%
80 Strategic II		4.6%	5.8%	12.0%	10.7%	9.0%	-30.0%
80 Schwab index		5.0%	7.0%	12.0%	10.1%	7.2%	-32.1%
Ibbotson Moderate		3.2%	6.5%	9.4%	8.8%	6.5%	-21.2%
Moderate		3.7%	4.5%	8.7%	8.0%	6.2%	-23.1%
60 Flex V		2.5%	4.0%	8.7%	8.0%		-13.1%
60 Flex IV		1.9%	2.7%	6.7%	7.2%		-13.0%
60 Strategic II		3.5%	5.1%	10.0%	9.3%	8.3%	-23.9%
60 Schwab index		3.4%	6.6%	9.7%	8.8%	6.4%	-25.6%
Ibbotson Moderately Conservative		1.9%	5.1%	6.8%	7.1%	5.8%	-12.4%
Moderately Conservative		2.1%	3.1%	6.0%	6.5%	5.6%	-10.4%
40 Flex V		2.3%	4.0%	8.4%	7.9%		-13.3%
40 Strategic II		3.0%	5.3%	9.4%	8.5%	7.9%	-17.7%
40 Schwab Index		2.0%	5.9%	7.3%	7.2%	5.5%	-18.8%
Ibbotson Conservative		0.4%	3.2%	3.8%	5.0%	4.9%	-1.4%
Conservative		0.5%	1.6%	3.4%	4.8%	4.8%	-2.5%
20 Flex V		2.1%	3.8%	7.1%	7.4%		-5.2%
20 Strategic II		1.9%	4.1%	7.2%	6.7%	6.8%	-10.5%
20 Schwab index		0.6%	5.0%	4.7%	5.4%	4.3%	-11.7%
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", "Strategic", and "Index" models are crafted/run by Potomac Wealth Strategies.  They show history of better returns, lower volatility, or both--or, with the Index models, closer tracking--vs benchmarks and competitors.
NOTE 3:  "XX Schwab index" models are low-cost portfolios.  They are comprised of index funds available free of transaction charges to my clients at Schwab.  This is what many might recommend due to low-costs and portfolio efficiency.
NOTE 4:  Nothing on this blog post represents investment advice to any individual or organization.  If the information hereon is of interest to you, please contact me at Garo.Partoyan@PotomacWealthStrategies.com for a consultation.