Portfolio Strategies

Intelligent Portfolio Design 

FCM Portfolio Strategies

All portfolios managed by FCM maintain a strong focus on risk management.  Of course, varying expectations of returns will adjust the overall magnitude of risk and the portfolio strategy an investor chooses to accept. FCM offers the following portfolio strategies and will help you choose the best strategy for your investment objectives.

1) A standard “risk managed” account, is what we call LTH, or Long Term Hold, is similar to the style in which FCM has been managing since 2006 (and Bruce has been managing since 1986).  The primary investments used in this system are mutual funds and ETF’s (Exchange Traded Funds). This is a trend following strategy that utilizes sector rotation models. Our objective with this strategy is to hold securities that are trending higher and sell them when the trend weakens. Management fees for clients of this strategy can be found in the FCM registration on our website, item five   

2)FCM's Premier Multi-Platform Trading System  which is called:  Risk-managed Trading Account (RTA)   


A Highly Sophisticated Technical Analysis Platform Combined With Multi-Level Risk Management and Fundamental Analysis

After extensive research, FCM has designed a multi-platform trading system, which will include multiple separate trading platforms, each utilizing its own particular technical trading techniques, as well as multiple sources of investment lists.

This multi-platform system allows for a portion of the investors trading portfolio to be managed in each of the systems contained within this program, thus reducing strategy risk. Each trading platform may be changed for another system based on trading efficiency at the discretion of FCM.

Each trading strategy will employ multiple risk management techniques with the intent of reducing the risks associated with stock trading to a highly rules-based structure. Trading stocks and other securities is inherently risky. FCM will use numerous resources and techniques in order to help minimize these associated risks.

This program may trade stocks, ETF’s, mutual funds and options, as well as other financial instruments, both in long and short positions based on FCM’s sole discretion. All trading will be completed on a discretionary basis as timing is of the essence in this type of rules-based trading program. FCM will offer regular account reviews to discuss all aspects of the program specific to each client, including performance reporting, risk analysis, and strategy efficiency.

The minimum account size is currently $250,000 for this trading platform, yet clients must meet the $500,000 relationship minimum to have an account with FCM. (subject to change to new clients with written notice). The management fee for this program will be a flat 1.00 percent of assets, charged to the account on a monthly basis in advance. (.01/12=.00083 monthly) This management fee will be separate from, and not in addition to, the management fee charged to FCM assets held outside of this platform. Assets for this strategy will be segregated to a separate account for billing and performance measurement.