Our partners at Arrow Funds have been making the case for some time now that we are generally in a favorable environment for tactical asset allocation (See Relative Strength Environments and Relative Strength Turns). Stable asset class leadership and widening dispersion in performance between the different asset classes have helped the Arrow DWA Tactical Fund rise to the front of the pack in 2013.
Source: Dorsey Wright, YTD through 9/19/13
Source: Morningstar
Although this fund has wide flexibility to invest in a number of different asset classes, including domestic equities, inverse equities, international equities, currencies, commodities, real estate, and fixed income, this year the allocation has been dominated by equities.
Source: Arrow Funds
Past performance is no guarantee of future returns. See www.arrowfunds.com for more information.
