Provo, Utah (PressExposure) January 09, 2008 -- Utah investment management firm, Paragon Wealth Management, had more than one thing to celebrate on New Yearâs Day when they calculated Paragonâs Top Flight Portfolioâs performance numbers on December 31.
Paragonâs Top Flight Portfolio generated a total return of 417.34% verses 77.42% for the S&P 500 from its inception on December 31, 1997 through December 31, 2007. Its compound annual return is 18.03%, versus 5.95% for the S&P 500. (Visit http://www.paragonwealth.com to see complete track record and full disclosure.)
Dave Young, President of Paragon Wealth Management, also known as the âUndiscovered Money Manager,â and Nathan White CFA, portfolio manager, actively manage Paragonâs Top Flight Portfolio using two distinct sets of quantitative models.
One set measures market sector and style strength over various time frames, which determines where Top Flightâs funds are allocated. This is constantly adjusted depending on where market strength is coming from. The second set of models measures market risk. The portfolioâs long exposure is constantly adjusted depending on how much risk is perceived to be in the market.
âMany growth oriented portfolios simply take a more passive approach rather than actively looking for areas of the market that offer the most potential,â said White. âThe success of Paragonâs Top Flight Portfolio is partially due to actively managing the downside risks.â
Paragonâs Top Flight Portfolio was created in late 1997 as the culmination of the best systems and models Paragon had used up to that point. Its investment universe includes the U.S. and International stock markets. This portfolio is suitable for investors able to tolerate exposure to the volatility of the broader stock market. It is actively managed, and will primarily move in and out of selected exchange traded funds (ETFs) based on Paragonâs quantitative models, which can change frequently depending on market conditions.
âWeâve been told that active management doesnât work,â said Young. âWe believe Top Flightâs last 10 years of performance indicates otherwise.â
Paragonâs principal objective of the Top Flight Portfolio is to generate superior absolute returns in rising markets while hedging against downside volatility in falling markets. While there is no guarantee of this goal being achieved, Paragon actively manages towards this objective.