Each quarter our team evaluates all investments held in our models to ensure we are considering market trends, economic outlook, investment quality and performance. After careful evaluation, we have made the following changes.
Core Model
- The core model is composed of mutual funds and ETF’s spanning equities, fixed income, and alternatives. This blended approach provides diversification between sectors and investment categories.
- This model has 5 allocations that differ based on risk tolerance (Conservative, Moderate Conservative, Moderate, Moderate Aggressive and Aggressive). While the positions themselves are the same in each of the 5 allocations, the difference comes from the weighting percentage of each investment.
- For example – The Conservative allocation has a much larger weighting in fixed income and alternatives. Whereas the Aggressive allocation has a much lower weighting in fixed income and alternatives, and a higher weighting in equities.
- In the equity sleeve we have increased our international exposure.
- We have kept the same funds in our bond allocation and are re-optimizing the bond sleeve to increase the yield.
- Our alternative sleeve focuses on strategies that are not correlated to traditional investments such as stocks and bonds. For this quarter we have added silver and a private equity fund to the alternative model.
| Beta | Alpha | Standard Deviation |
|
| Blended Benchmark (S&P 500 and Aggregate Bond Index) | 1.00 | 0 | 11.06 |
| Feldmeyer Financial Core Model – Moderate Allocation |
0.98 | 1.06 | 10.89 |
*Metrics are using the Moderate Allocation.
Additions:
- iShares US Equity Factor Rotation Active ETF (DYNF)
- BNY Mellon Dynamic Value (BKDV)
- First Trust Multi Cap Growth AlphaDex (FAD)
- Vanguard US Multifactor Fund (VFMF)
- First Trust WCM International Equity (WCMI)
- MFS Blended Research International Equity (BRIE)
- iShares Silver ETF (SLV)
- Meketa Private Equity Fund (PMPEX)
Sells:
- AB Large Cap Strategic Equities (LRGC)
- BlackRock Large Cap Value Active ETF (BLCV)
- Janus Henderson Mid Cap Growth Alpha (JMID)
- John Hancock Disciplined Mid Vap Value (JVMIX)
- John Hancock International Dynamic Growth (JIJIX)
- AB International Low Volatility Equity (ILOW)
- Pimco Commodities Plus Strategy (PCLNX)
- BlackRock Systematic Multi-Strategy Fund (BIMBX)
Bond Model
- With the updates made to the bond model, our current yield is 6.18%, and the model is selling at a discount of $94.92.
- We have kept the same funds and are re-optimizing the bond model. This will help maintain the yield in the bond model while keeping risk metrics in line with our target. Our alpha has increased, and our beta slightly increased compared to the Aggregate Bond index.
- For reference, alpha is a measure of the difference between a portfolio’s actual returns and its expected performance, given its level of risk as measured by beta. A positive alpha figure indicates the portfolio has performed better than its beta would predict. In contrast, a negative alpha indicates the portfolio has underperformed, given the expectations established by beta.
| Beta | Alpha | Standard Deviation |
|
| Aggregate Bond Index |
1.00 | 0 | 7.67 |
| Feldmeyer Financial Bond Model |
0.76 | 2.95 | 5.85 |
High Dividend Model
- Our high dividend model currently has a dividend yield of 9.92%
- We have made changes this quarter to increase our dividend yield. These changes have increased our alpha while slightly increasing our beta.
- Vale (VALE)
- Alliance Resource Partners (ARLP)
| Beta | Alpha | Standard Deviation |
|
| S&P 500 | 1.00 | 0 | 17.31 |
| Feldmeyer Financial High Dividend Model |
0.86 | 4.95 | 13.91 |
Additions:
Sells:
Stock Model
- The stock model has our top picks for 2026.
- The positions we have added give us exposure across different sectors of the market. We believe these stocks can perform well given the current economic and market conditions.
- We continue to monitor the markets closely and update when appropriate.
| Beta | Alpha | Standard Deviation |
|
| S&P 500 | 1.00 | 0 | 17.31 |
| Feldmeyer Financial Stock Model |
0.98 | 14.11 | 15.05 |
Additions:
- GE Vernova (GEV)
- Cummins Inc (CMI)
- Warby Parker (WRBY)
- Cisco (CSCO)
Sells:
- Berkshire Hathaway (BRK.B)
- Palo Alto Networks (PANW)
- Raymond James Financial (RJF)
Investment advisory services offered through OneSeven LLC, a registered investment advisor. One Seven and Feldmeyer Financial Group are independent of each other. For a complete description of investment risks, fees and services, review the On Seven firm brochure (ADV Part 2A) which is available from your Investment Advisor Representative or by contacting OneSeven.
This presentation does not take into account your particular investment objectives, financial situation or risk tolerance and may not be suitable for all investors. Investments and/or investment strategies involve risk including the possible loss of principal. The presentation is not intended to project the performance of any specific investment and is not a solicitation or recommendation of any investment strategy. There is no assurance that any investment strategy will achieve its objectives.
The S&P 500 index is designed to be a broad based unmanaged leading indicator of U.S. equities and is meant to reflect the risk/return characteristics of the large cap universe or representative of the equity market in general. The Bloomberg US Aggregate Index is a broad-based flagship benchmark that measures the investment grade, US dollar-denominated, fixed-rate taxable bond market.