TERMEquityCompass Tactical Risk Manager ETF
TERM Fund Description
TERM is an actively managed fund that provides long-term capital appreciation with capital preservation as a secondary objective.
TERM Factset Analytics Insight
TERM takes an active approach by allocating between US equity, short-term fixed income, cash equivalents, and at times, short exposure to broad US market indexes. The allocation may shift based on a monthly fundamental and technical screening process used by the sub-advisor to determine market conditions as favorable or unfavorable. The fundamental screening process is based on earnings expectations for the S&P 500 Index. The technical screen is based on the level of the Dow Jones Industrial Average. TERM looks to be used as a piece of an overall portfolio strategy in attempting to avoid large market losses and reduce volatility. During favorable conditions, the fund will be fully invested in equity securities. During periods of caution, equity exposure will be reduced and mixed with short-term fixed income securities or cash equivalents. During unfavorable conditions, short US equity exposure could be as high as 90%. TERM’s fee is in line with others in this space. Given the nature of the product, spreads may be wide, so trade with caution. Short exposure could reduce the tax efficiency of the fund.
TERM CHARTS AND PERFORMANCE
TERM Factset Analytics Block Liquidity
This measurement shows how easy it is to trade a $1 million USD block of TERM. TERM is rated a N/A out of 5.