Each quarter our team evaluates all investments held in our models to ensure we 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 slightly increased our international exposure by adding in emerging markets.
- We have added more ETFs to our bond allocation. The changes we have made increase our yield while maintaining its credit quality,
- Our alternative sleeve focuses on strategies that are not correlated to traditional investments such as stocks and bonds. For this quarter we have increased our gold exposure.
| Beta | Alpha | Standard Deviation |
|
| Blended Benchmark (S&P 500 and Aggregate Bond Index) | 1.00 | 0 | 10.99 |
| Feldmeyer Financial Core Model – Moderate Allocation |
0.91 | 0.66 | 9.64 |
*Metrics are using the Moderate Allocation.
Additions:
- Eaton Vance Emerging and Frontier Countries (EICOX)
- Eaton Vance Total Return Bond ETF (EVTR)
- PGIM Total Return Bond ETF (PTRB)
- Hartford Strategic Income ETF (HFSI)
- Eaton Vance Short Duration Income ETF (EVSD)
- PGIM Short Duration High Yield ETF (PSH)
Sells:
- Eaton Vance Total Return Bond Fund (EIBAX)
- PGIM Total Return Bond Fund (PDBZX)
- Hartford Strategic Income Fund (HSNIX)
- Eaton Vance Strategic Income Fund (ESIIX)
- PGIM Short Duration High Yield Fund (HYSZX)
Bond Model
- With the updates made to the bond model, our current yield is 6.15%, and the model is selling at a discount of $95.91.
- The funds selected improve our risk metrics. Our alpha has increased, and our beta has remained the same 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 |
0.72 | 3.10 | 5.51 |
Additions:
- Eaton Vance Total Return Bond ETF (EVTR)
- PGIM Total Return Bond ETF (PTRB)
- Hartford Strategic Income ETF (HFSI)
- Eaton Vance Short Duration Income ETF (EVSD)
- PGIM Short Duration High Yield ETF (PSH)
Sells:
- Eaton Vance Total Return Bond Fund (EIBAX)
- PGIM Total Return Bond Fund (PDBZX)
- Hartford Strategic Income Fund (HSNIX)
- Eaton Vance Strategic Income Fund (ESIIX)
- PGIM Short Duration High Yield Fund (HYSZX)
High Dividend Model
- Our high dividend model currently has a dividend yield of 9.55%
- We have made changes this quarter to keep our dividend yield the same while reducing some of the volatility. These changes have improved our risk metrics. Our alpha has increased and our beta has decreased compared to the S&P 500 index.
- Neos S&P 500 High Income ETF (SPYI)
- Main Street Capital Corporation (MAIN)
- FS KKR Capital Corp (FSK)
| Beta | Alpha | Standard Deviation |
|
| S&P 500 | 1.00 | 0 | 17.31 |
| Feldmeyer Financial High Dividend Model |
0.86 | 2.15 | 16.45 |
Additions:
Sells:
Stock Model
- The stock model has our top picks for the remainder of 2025.
- We have added stocks that give us more exposure to Artificial Intelligence and added more to our gold position. We believe these can perform well given the current economic and market conditions.
- We continue to monitor the markets closely to and update when appropriate.
| Beta | Alpha | Standard Deviation |
|
| S&P 500 | 1.00 | 0 | 17.31 |
| Feldmeyer Financial Stock Model |
0.95 | 13.08 | 16.98 |
Additions:
- Janus Henderson Global Artificial Intelligence ETF (JHAI)
- Broadcom Inc (AVGO)
- Cadence Design Systems (CDNS)
- Oracle Corp (ORCL)
Sell:
- Badger Meter Inc. (BMI)
- Republic Services Group (RSG)
- Costco (COST)
- Fidelity Money Market (FDRXX)
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.