Quarterly Asset Allocation Slide Shows Featuring Research By Prof. Craig Israelsen
- Created: Friday, 25 January 2013 13:30
Craig L. Israelsen, Ph.D., one of the nation’s foremost academics in the field of indexes and passive investing, has teamed up with Advisor Products and Advisors4Advisors to provide timely slide shows about managing assets prudently in broadly diversified portfolios.
Financial advisors adhering to Modern Portfolio Theory and designing broadly diversified portfolios based on strategic asset allocation can use Prof. Israelsen’s quarterly slide presentations to explain timely investment topics to clients in client newsletters, websites, blogs, slide shows, and client meetings. Members of Advisors4Advisors ($60 annually) can see Israelsen's quarterly presentations and receive CFP and IMCA CE credit for them.
Dr. Israelsen, an Associate Professor at Brigham Young University, has created a methodology for investing in a multi-asset balanced portfolio that he calls the 7Twelve Portfolio. The "7" represents the suggested number of asset classes to include in a portfolio, while "12" represents specific mutual funds or exchange-traded funds used to invest across all seven asset classes.
The quarterly slide shows address current topics of concern to clients. For example, Israelsen's first slide addresses the likelihood that interest rates are widely expected to rise in 2013 and 2014 and how that might affect a broadly diversified portfolio.
Hundreds of advisors currently subscribe to Israelsen's investment research for $150 annually ($350 in the first year), and now Advisor Products is the distributing slide presentations and other content to help advisors market based on Israelsen's trademarked method for strategic asset allocation.
Israelsen's 7Twelve Portfolio is designed to create an efficient, low-cost balanced portfolio using Modern Portfolio Theory. It's worked. The 7Twelve Portfolio investing in passively managed mutual funds gained a 9.8% average annual return in the 10 years ended December 31, 2012 versus a. 7.1% annualized return on the Vanguard Balanced Fund. (Past performance is not an indication of future results.)
Since strategic asset allocation is a long-term buy and hold strategy, advisors often have difficulty convincing clients to stay the course through good and bad markets. In addition, marketing this prudent strategy to prospects can be challenging because it's not as exciting as advisors who say they can predict the next market turn or next asset class to rise. Israelsen's collaboration with Advisor Products is designed to provide advisors with content that can be used in marketing portfolios designed strategically and diversified broadly.
In addition to the slide shows that advisors can repurpose and use to create content under their own brand, Advisor Products is creating articles, videos, and slide shows with Israelsen that explain timely topics to clients and prospects of advisors based on Israelsen's 7Twelve Portfolio strategy.
Each quarter, Advisor Products produces articles and videos that are published on advisor websites. The articles and videos are connected to a social media content stream that will drive traffic to your website. Advisors will soon be able to also purchase "white papers" based on Israelsen's content for lead generation.