The Sortino active fund allocation under the Salt Creek platform continues to have good performance for the quarter. Domestic funds have fared better than foreign, fixed income has been stable, and real estate had a better November than October. Large value was the leader for the month of November followed by mid-cap growth. Higher volatility in the Asian market kept returns subdued, though the year-to-date performance for this class has been exceptional. Tax reform looks highly likely and should be a positive for the following quarters after it becomes law. Let’s hope the new law will truly have significant reform and simplification, removing the complexity and absurdity of the current law.
We’re already thinking about the first quarter of 2018. Broad market indicators are telling us there will be some minor changes to the strategic allocation. I emphasize minor. Our model allocations are designed to reach across a broad array of exposures. Most of the models are at or near the maximum equity allocation and with good reason. The economics of the global economy remain in good shape as world growth seems synchronized for the first time in several quarters. This too will change.
Finally, the Salt Creek Investors platform is looking forward to the new year and some important changes. All are positive and will enhance the advisor and the client experience. Thank you again for the support and confidence you have shown our organization.
SCI HIGHLIGHTS
Focus: Downside Risk Deviation
Our rigorous investment analysis has some key features that make us unique. Today we focus on one element, Downside Risk.
We penalize managers twice as severely for below benchmark performance using a measure of portfolio risk developed through the work of Peter C. Fishburn, a John von Neumann Theory Prize recipient who has made significant contributions to the foundations of making choices under uncertainty.
By defining risk as not achieving a portfolio’s return objective, it distinguishes between good returns, those greater than the desired return objective, and bad returns, those below the return objective. Only the latter represents risk and the further the returns fall below this level the greater the risk.
Weekly SCI Webinar
We host a weekly lunch and learn online webinar to answer questions about the Salt Creek platform and to provide training on the best practices for the services available on the advisor portal. Please join me for a laid back and open session on Salt Creek and the new services available.
Every Tuesday starting 10/3/2017 @ 12pm CDT
Join from PC, Mac, Linux, iOS or Android:
Click here for Conference Login
Meeting ID: 325 159 0655
Dial In Audio: 669-900-6833
LaSalle St. Investment Advisors, LLC
940 N. Industrial Dr.
Elmhurst, IL 60126
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