APPLETON, Wis., July 14, 2020 /PRNewswire/ -- The Endowment Index® calculated by Nasdaq OMX® (Symbol: ENDOW) gained 15.40% (on a total return basis) for the second quarter ended June 30, 2020. This compares to the Global 60-40 Portfolio (60% Stocks, 40% Bonds), which increased 12.04% for the same period.
Following one of the most volatile quarters in the history of global capital markets, asset prices rebounded sharply in Q2 2020. Signs of an economic recovery and easing of COVID-19 lockdowns increased investors' appetites for risk and were the primary drivers of returns. The quick recovery in asset prices is also partially attributable to the commitments from both government stimulus and central banks to help facilitate the economic recovery and provide ample liquidity.
Twenty-two of the Index's twenty-four components posted gains for Q2 2020, with fifteen posting double digit gains. The top performing component of the Index for Q2 2020 was oil & gas, which gained 47.61%. Treasuries & managed futures were the two laggards, posting losses of -0.01% and -3.57%, respectively.
Commodity – Oil & Gas
Domestic Real Estate
Publicly Traded MLP's
Emerging Mkt Fixed Inc
Intl. Real Estate
Commodity – Met/Mining
Private Eq-Distressed Debt
Commodity -Natural Resources
Domestic Fixed Inc.
Commodity –Pvt. Agriculture
Intl Developed Fixed Inc
Commodity - Timber
Intl Developed Equity
Liquidity - TBills
Em. Market Equity - China
The Endowment Index represents the investable opportunity for managers of portfolios utilizing the Endowment Investment Philosophy or who otherwise incorporate alternative investments within a comprehensive asset allocation. The Endowment Index measures performance for a multi-asset, globally-diversified, three-dimensional portfolio that includes Global Equity, Global Fixed Income, and Alternative Investments (like Private Equity, Hedge Funds and Real Assets) The Index applies an objective, rules based construction methodology based upon portfolio allocation data obtained from over 770 educational institutions that collectively manage over $630 billion as of 6/30/19. Each of the 24 sub-indexes that currently comprise the Index are investable and contained within those sub-indexes are over 44,000 underlying securities.
Visit EndowmentIndex.com to download longer term index price and performance data.
ETF Model Solutions, LLC serves its clients as an ETF strategist, designing and managing ETF-based investment solutions for advisers, institutions, retirement plans and individual investors based upon the Endowment Investment Philosophy®. The Firm offers ETF-based diversified target-risk models, and asset class models for use by investment advisers and retirement plans. ETF Model Solutions, LLC also provides digital investment services to individual investors through the website, www.MyRoboAdviser.com.
Contact: Tim Landolt MBA, Managing Director, 920.785.6012
Info: www.ETFModelSolutions.com or www.EndowmentIndex.com
Disclosure: Information presented for educational purposes only and is not intended as an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies, nor shall it be construed to be the provision of investment advice. You cannot invest directly in an index. Indexes do not contain fees. Past performance is not necessarily indicative of future results. Investments involve risk and unless otherwise stated, are not insured or guaranteed. Performance information provided is net of any underlying exchange-traded fund expenses but does not include any other fees or expenses. ETF Model Solutions, LLC is registered as an investment adviser with the SEC. Registration does not imply any level of skill or training, nor does it imply endorsement by the SEC or other securities regulatory authority. A copy of the Firm's disclosure document, Form ADV Brochure Part 2, is available upon request.