FYI: For years, investors who rely on diversification across asset classes as the source of risk management have been relatively well served. What investors haven't been thinking about as much is how to manage risk at the "last mile" in each of the individual asset classes within their portfolios.
Many investors own either the "market portfolio," which is a passive portfolio weighted by the size or capitalization of companies, or they own an actively managed portfolio that is similarly benchmarked.
But investors may not be aware that these simple, low-cost approaches introduce concentration and other risk distortions in their portfolios.
ETF provider Lattice Strategies has developed what founder Thomas Lucas, a 26-year industry veteran, terms an "upside-down" philosophy on risk and return.
Regards,
Ted
http://www.marketwatch.com/story/these-new-etfs-put-unique-twist-on-risk-control-2015-03-30/printLattice Strategies ETF's:
http://www.latticeetfs.com/
