Our Innovative Portfolio Strategy: World Markets and ETFs
What is MARKTORS®?
"MARKTORS®" is simply the combining of two words: "markets" and "sectors."
MARKTORS® is a unique, tested1 investment approach that brings the energy of the entire world to your equity investments. It is an efficient, comprehensive solution for the Portfolio Management (equities) end of your Wealth Barbell®.
A World of Opportunities
We actively manage passive investments to efficiently access the world's most promising markets and sectors2.
These include markets and sectors in the U.S. and in all other countries.
We use the rapidly-growing universe of U.S.-traded, index-tracking, exchange-traded funds (ETFs).
Low-cost ETFs greatly diversify your portfolio, may reduce your risk, and may provide many other benefits.
America's greatest export has always been FREEDOM. Now, thanks to America, free enterprise is exploding throughout the world. You may participate in this remarkable explosion of growth through MARKTORS®.
How We Do It - MARKTORS'® Unique Approach
First and foremost, we do not use often ineffective buy and-hold, U.S.-centric, portfolio models. We identify what we regard as the world's most promising markets and sectors2, and we go to cash or to defensive positions when U.S. or world markets do not meet our strict requirements3.
We apply old-fashioned, hard-nosed valuation methods4 to the new world of market and sector investing. The data we use was simply not compiled just a few years ago. We are the first to apply our strict discipline to this new - and, we think, preferred - world of investing.
We use only the most appropriate, low-cost, exchange-traded funds (ETFs) to efficiently access each market and sector. These passive, lowcost, non-leveraged ETFs are specifically designed by third parties to closely track the performance of the markets and sectors in which we invest.
Why Invest in Markets and Sectors?
Market and sector investing with ETFs may offer many advantages over traditional individual stock investing. These include:
- Automatic diversification. With a single investment you may own from 30 to 3,000 companies within a market and sector. This empowers you to participate in a broad spectrum of companies in the U.S. and around the world.
- Reduced risk. When you broadly diversify within a market or sector, your portfolio will be less damaged by the failure of any individual company. This is especially important when investing outside the U.S.
- Performance. Investing in markets and sectors can be every bit as productive as investing in individual stocks5.
Why Use ETFs?
Exchange traded funds (ETFs) may offer many advantages over actively managed mutual funds. Here are just a few:
- Performance. Over time, actively-managed mutual funds rarely outperform the market or sector index against which they compete. ETFs that closely track a market or sector index perform almost6 as the index performs.
- Reduced cost. Generally, ETF investing is much less expensive than mutual fund investing.
- Tax advantages. ETFs offer significant tax advantages over mutual funds.
How to Invest
If you enlist our services through our DeGreen-Plus program, your MARKTORS®-Certified Advisor will help you decide not only whether and to what extent you should invest in our program, but also what to allocate between bonds/fixed-income and equity investments within our program. They will also prepare all the paperwork for you. Learn more about DeGreen-Plus.
If you enlist our services through our DeGreen-Direct program, we will provide you with a suitability questionnaire, and will conduct a brief suitability interview with you, to help you decide whether and to what extent you should invest in our program, and how you should direct us to allocate between bonds/fixed-income and equity investments within our program. We will prepare the paperwork for you. Existing clients of MARKTORS®-Certified Advisors are not eligible for DeGreen-Direct. Learn more about DeGreen-Direct.
Either way, your money will be held at Charles Schwab, in your own separately managed account(s). DeGreen Capital Management LLC will be named investment advisor on those accounts.
We will deduct a quarterly fee for our service. Your Financial Advisor will discuss these fees with you.
You will receive monthly statements from Charles Schwab, or you may go online at any time to check the status of your account(s).
Either we, or your Financial Advisor will provide quarterly performance reports.
You may withdraw from the program at any time.
We believe that MARKTORS® is truly worthy of investors who trust us to do the right thing. And we will work tirelessly to do just that.
1 Please request the MARKTORS® Back-Tested Performance brochure, with full disclosures, from us or your Financial Advisor.
2 The phrase "most promising markets and sectors" refers only to the markets and sectors our investment discipline identifies. Obviously, results cannot be guaranteed.
3 All equity investing, including the MARKTORS® program, involves the risk of loss.
4 Additional information regarding our proprietary models is available upon request.
5 For one example, please see our MARKTORS® Back-Tested Performance brochure, with complete disclosures.
6 Because ETFs assess fees, the performance of a typical ETF will be slightly lower than the index it tracks.