Risk-Managed Investing

Navigating today's uncertain markets

We believe relying on financial markets to deliver historical average returns in all market circumstances increases the risk that our clients will not be able to achieve their financial goals. While the overall trend of the market is upward, one thing is clearly visible - the market moves in cycles. Like a road trip, variables such as different road choices, weather conditions, and traffic conditions can impact how and when we get from Point A to Point B. Markets can move in one of three ways: upwards, sideways, and downwards. For this reason, we feel it is prudent to not only diversify among different asset types, but also among different investment styles to account for these different market environments.

Source: Graph created by Guggenheim Investments using data from dowjones.com. Logarithmic graph of the Dow Jones Industrial Average from 1/1897 through 12/2017.

Performance displayed represents past performance, which is no guarantee of future results. For more information call (800) 345-7999 or visit guggenheiminvestments.com

The "Dow Jones Industrial Average" is a product of S&P Dow Jones Indices LLC ("SPDJI"). Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services, LLC ("S&P"); DJIA, The Dow, Dow Jones, and Dow Jones Industrial Average are trademarks of Dow Jones Trademark Holdings LLC ("Dow Jones"); and these trademarks have been licensed for use by SPDJI. Guggenheim Investments is not sponsored, endorsed sold, or promoted by SPDJI, Dow Jones, S&P, their respective affiliates do no sponsor, endorse, sell, or promote investment products based on the Dow Jones Industrial Average, and none of such parties make any representation regarding the advisability of investing in such products nor do they have any liability for any errors, omissions, or interruptions of the Dow Jones Industrial Average.

Growing Market

Investment Style - Strategic

Dow Jones Industrial Average

Bull Chart.jpg
Managers in this style tend to be passive and stay fully invested in all market conditions with the objective to capture and fully participate in market returns for the purpose of long-term growth to effectively manage longevity and inflation risks.
Open Roads - Cruise Control:
As you navigate towards your financial destination, there will be times of open roads. Use cruise control to take advantage of these roads.

Source: Yahoo Finance!: finance.yahoo.com

Sideways Market

Investment Style - Tactical

Dow Jones Industrial Average

Sideways Chart.jpg

Source: Yahoo Finance!: finance.yahoo.com

This style can have flexibility and adjust for changing market conditions. A more active approach allows tactical styles to increase or decrease the exposure to different investments as research dictates to actively manage risk while being opportunistic.
Adverse Conditions:
There are times on your journey where the road becomes wet, winding, or other adverse conditions arise where a more hands on approach is needed to navigate the roads safely.
Bear Chart.jpg

Down Market

Investment Style - Defensive

This style can disengage from the overall market and provide different sources of potential return & risk that is independent of the overall market.
Stop & Go Traffic:
Often times, stop-and-go traffic is unavoidable on your journey and can derail you from arriving at your destination on time. Sometimes, it can be beneficial to find an an alternate route to avoid the traffic.

Source: Yahoo Finance!: finance.yahoo.com

Dow Jones Industrial Average