Boost your portfolio with research-driven strategies

Looking to take your investments to the next level? Consider multi-factor exchange-traded funds (ETFs). This innovative approach combines cutting-edge research with the affordability and convenience of ETFs to help you seek superior returns while managing risk.

Understanding the investment landscape

Imagine a spectrum of investment options. On one side, traditional index funds simply mirror the market, limiting your ability to outperform. On the other end, actively managed funds aim for higher gains, but often come with high fees and periods of underperformance. Multi-factor ETFs bridge this gap, harnessing the power of research-backed factors to deliver more for your investment.

The science of building a stronger portfolio

Years of academic and financial research have identified key factors that drive long-term market returns. Multi-factor ETFs are built on this foundation, focusing on factors that have historically delivered superior returns across stocks and bonds.

Building blocks for success: Exploring different factors

Think of factors as the ingredients that shape your portfolio’s success. Here’s a breakdown of some common factors and how they benefit you:

• Value investing: Target undervalued companies with strong fundamentals, aiming to buy low and sell high.
• Momentum investing: Capitalize on stocks with strong upward trends by owning companies experiencing significant growth.
• Quality investing: Focus on financially stable companies with a history of steady returns.
• Low-volatility investing: Seek companies with steadier returns that can help smooth out market fluctuations.

Strength in numbers: The power of diversification

While each factor offers long-term potential, their performance can fluctuate in the short term. This is where multi-factor strategies truly shine. By combining multiple factors within a single portfolio, you benefit from built-in diversification. When one factor underperforms, another might thrive, providing a smoother overall ride for your portfolio.

Innovation meets investment

Previously, sophisticated factor investing strategies were primarily accessible to institutional investors. Now, thanks to innovation and regulation changes, multi-factor ETFs make these powerful tools accessible to everyone. You can benefit from the expertise behind factor investing with the affordability and tax-efficiency of ETFs.

Building a personalized investment strategy

Factor investing offers a powerful approach, but navigating the complexity of different factors can be challenging. A trusted financial advisor can be a valuable resource. Your Signet advisor can help you identify the right mix of factors most aligned with your risk tolerance and goals, then use their expertise to construct a diversified factor portfolio tailored to your needs.

Invest smarter, achieve more

Multi-factor ETFs offer a compelling option for investors seeking to enhance returns and manage risk. By leveraging research-driven strategies and the convenience of ETFs, you can build a more resilient and potentially more rewarding portfolio.

Discussing multi-factor strategies with your financial advisor to see if they can supercharge your investment strategy.

IMPORTANT DISCLOSURE

This is a publication of Signet Financial Management, LLC.

The information presented is believed to be factual, but we do not guarantee its accuracy and it should not be regarded as a complete analysis of the subjects discussed. All expressions of opinion reflect the judgment of the authors as of the date of publication and are subject to change. Due to various factors, including changing market conditions and/or applicable laws, the content may no longer be reflective of current opinions or positions. Information in this presentation does not involve the rendering of personalized investment advice. It is limited to the dissemination of general information on products and services. A professional adviser should be consulted before implementing any of the options presented.

Information in this presentation is not an offer to buy or sell, or a solicitation of an offer to buy or sell the securities mentioned herein. Information on this presentation is directed toward U.S. residents only. Signet only transacts business in states where it may legally do so.