Investment Objective
This strategy seeks to profit from changes in broad securities markets, interest rates, exchange rates and prices of commodities. The strategy may employ a leveraged long and/or short position(s) with the primary objective of providing a positive annual return while controlling downside risk.
Investment Approach
Strategy invests primarily in equities which include passive and actively traded Exchange Traded Funds (ETFs) as well as public stocks of a wide variety of companies. The strategy is extremely flexible, with no mandates on holdings.
Risk Management
PVG reduces undiversifiable market volatility and risk by hedging portfolios with inverse market index securities, stop losses and cash positions. Hedging tactics are utilized to reduce overall volatility of the portfolio, and may also result in minimizing losses that may occur in an unfavorable cyclical or secular market. PVG is not a market timer.
Individual security risk is also managed by PVG. While PVG extensively researches all securities included in Equity Income portfolios, changing fundamental and market conditions, periodically requires the sale and replacement of portfolio securities. Others are sold if they rise to excessive valuations.
