Forward Tactical Growth Fund

Fund Overview

Investment Objective:

  • An actively managed fund that seeks to produce above-average, risk-adjusted returns, in any market environment, while exhibiting less downside volatility than the S&P 500 Index
  • Investment strategy is designed to evaluate potential long and short investments in an attempt to isolate those securities that the sub-advisor believes are undervalued or overvalued relative to their intrinsic value and offer the greatest risk-adjusted potential for returns
  • Seeks to manage risk and enhance alpha with the flexibility to be long, short or neutral on the market

Investment Manager:

Broadmark Asset Management, LLC - Broadmark is a SEC-Registered Investment Advisor since 2000 with corporate headquarters in New York City, with portfolio management and investment operations in the San Francisco Bay Area.

Christopher J. Guptill, Portfolio Manager, CEO & CIO
Guptill is the Portfolio Manager of the Forward Tactical Growth Fund, and is the Chief Executive Officer and Chief Investment Officer of Broadmark and has been with the company since its inception in 1999. He is a founding member of Broadmark Asset Management, LLC, and is based in the California office. He is responsible for the executive management of the firm as well as the development of Broadmark’s investment management programs and products. He also oversees the implementation of all portfolio management and execution. Guptill began his career in 1979 at Paine Webber, Jackson and Curtis. In the mid-1980s, he developed a specialty for identifying emerging equity managers. In 1994, Guptill joined McKinley Capital Management, Inc., as a Senior Portfolio Manager. He later became the firm’s Chief Equity Strategist. Additionally, Guptill developed, launched and co-managed the firm’s highly successful alternative investment portfolios. Guptill is a 1979 graduate of California State University, Chico, with a BA in economics.

Investment Process:

  • Flexibility to be long, short or neutral on the market
    • Increasing equity exposure when the risks are low, e.g., long ETFs
    • Decreasing equity exposure when the risks are high, e.g., short positions in ETFs or futures
    • Taking a neutral position when no clean opportunities are there, e.g., cash
  • Portfolio is constructed using top-down environmental models and a volume-based momentum model
  • Relative strength model assesses overall opportunity or risk
  • Strategy provides key determinates in assessing optimal stock market exposure including: entry points, the amount of exposure, the type of exposure and exit points
Fund Analytics as of 06.30.10
Holdings 5
Sector Allocation as of 06.30.10
   
   
   
   
   
   
   
   
   
   

An investment in the U.S. Government Money Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in this Fund.

Small company stocks are generally riskier than large company stocks due to greater volatility and less liquidity. Investing in foreign securities, especially emerging markets, will involve additional risks including exchange rate fluctuations, social and political instability, less liquidity, greater volatility and less regulation. Funds that concentrate in a particular industry will involve a greater degree of risk than a fund with a more diversified portfolio. Small company stocks are generally riskier than large company stocks due to greater volatility and less liquidity. High-yield bonds involve a greater risk of default and price volatility than U.S. Government and other high-quality bonds. High-yield/high-risk bonds will experience sudden and sharp price swings, which will affect net asset value. Mortgage-backed securities are subject to prepayment and extension risk and therefore react differently to changes in interest rates than other bonds. Small movements in interest rates may quickly and significantly reduce the value of certain mortgage-backed securities. Real Estate Investment Trust (REIT) funds will be subject to a higher degree of market risk because of concentration in a specific industry, sector or geographic sector. Risks also include declines in the value of real estate, general and economic conditions. The Global Infrastructure Fund concentrates its investments in infrastructure-related entities and therefore has greater exposure to the potential adverse economic, regulatory, political and other changes affecting such entities. The International Real Estate, Long/Short Credit Analysis, Select Income and Strategic Realty Funds will invest in lower-rated debt securities and may utilize derivatives for hedging purposes. The Funds use of short selling involves additional risks and transaction costs, and creates leverage, which can increase the volatility of the Funds. The Funds may invest in a larger percentage of its assets in the securities of a smaller number of issuers, since they are “non-diversified” mutual funds. The Frontier Markets, Global Infrastructure, International Real Estate, Long/Short Credit Analysis, Select Income, Strategic Alternatives and Strategic Realty Funds are non-diversified funds. An investor will indirectly bear the expenses of the funds’ underlying investments. The underlying investments of the Frontier Markets, Strategic Alternatives and Tactical Growth Funds (such as Exchange Traded Funds (ETFs), futures and options on securities, securities indexes and shares of ETFs) involve heightened risks related to liquidity, increased volatility and unfavorable fluctuations in currency values. The underlying international and real estate investments will also be subject to economic or political instability in the U.S. and other countries, credit risk and interest rate fluctuations. Investors will indirectly bear the expenses of the Funds underlying investments. The Funds use of short selling and derivatives involves additional risks and transaction costs, and creates leverage, which can increase the volatility of the Fund.

There are risks involved with investing, including loss of principal. Past performance does not guarantee future results, share prices will fluctuate, and you may have a gain or loss when you redeem shares.

Data refers to the Fund’s holdings and not to the Fund itself.

Price/Book Ratio and Price/Earnings represent equity securities within the Fund’s portfolio, and are not intended to demonstrate Fund growth income earned by the Fund, or distributions made by the Fund.

Average EPS Growth Rate represents current year consensus estimates by distribution of the portfolio.

Holdings may not reflect the current or future positions in the portfolio. Current or future portfolio holdings are subject to risk. Portfolio holdings are subject to change.

The Forward Tactical Growth Fund was launched on September 14, 2009, and has a limited operating history.

Valuation and Monetary Policy Models are used to access overall stock market risk

Sentiment Models provide contrarian indicators to help identify high and low risk market environments

Momentum Models help determine market exposure