TOPS® Managed Risk Balanced ET (0P0000VE7J)

Overview

The fund described operates using a fund-of-funds structure, focusing primarily on investing in exchange-traded funds (ETFs), which constitute at least 80% of its assets under normal market conditions. This approach allows the fund to diversify its investments across various asset classes, including government and corporate fixed income securities, stocks, REITs, and natural resource-related securities. Additionally, the fund employs exchange-traded futures contracts as a strategy to hedge market risk and attempt to reduce return volatility, providing a more stable investment option for its stakeholders.

Products and Services

• Exchange-Traded Funds (ETFs)

  The bulk of the fund's investments are allocated towards ETFs that span several key asset classes. This diversified approach aids in spreading risk and potentially enhances returns by tapping into different segments of the financial markets.

• Exchange-Traded Futures Contracts

  To manage and mitigate market risk, the fund employs futures contracts. This strategy is designed to protect the investment from the volatility of the market, aiming to deliver steadier performance figures over time.

• Government Fixed Income Securities

  Part of the fund's investments is directed towards government bonds and securities. These are considered lower-risk assets, providing a stable income stream and serving as a cushion during market turbulence.

• Corporate Fixed Income Securities

  The fund allocates investments in corporate bonds and debt instruments, offering potentially higher yields than government securities. This segment is geared towards investors seeking a balance between risk and return within the fixed income space.

• Common and Preferred Stocks

  Investments in both common and preferred shares allow the fund to participate in the equity markets. This involves direct ownership in companies, with the potential for dividends and capital appreciation, albeit with higher risk compared to fixed income securities.

• REITs (Real Estate Investment Trusts)

  By investing in REITs, the fund gains exposure to real estate markets without the need for direct property ownership. REITs offer the potential for income through dividends and long-term capital growth.

• Natural Resource-Related Securities

  The fund also includes investments in securities related to natural resources, tapping into sectors such as energy, mining, and agriculture. These investments can offer diversification benefits and a hedge against inflation.