It’s a simple yet powerful idea really; a portfolio built on strong pillars lays the foundation for success. It’s how we’ve designed our Plus Portfolios. 

At Foundation Mutual Funds, we design carefully constructed portfolios to protect principal, provide capital appreciation and generate income.  And we do it all without adding undue risk, employing tactical asset allocation and using ETFs as our building blocks.   

That’s because our research indicates that long-term positive returns are primarily dependent on asset allocation; investment selection is secondary.  

Asset classes move broadly with the market, whereas individual stocks and bonds can move counter to their asset class based on corporate performance. That means that the simple mix between stocks and bonds in a portfolio can often be more important to returns than selectively hand-picked stocks or bonds. 

While our Foundation Funds will always be primarily invested in ETFs to ensure specific asset class participation, we are always on the lookout for great value. That great value can be found in a range of vehicles; from individual themes represented by topical ETFs to individual stocks, we seek out extraordinarily compelling investments to drive momentum. We like to believe that the Foundation Funds combine the best of both worlds of investing. 

At Foundation Mutual Funds, we believe stability and certainty are the hallmarks of a successful investment program. Our clearly defined goals and objectives are aligned with those of our investors. And that is to provide stable returns without any surprises.  Our funds offer actively managed solutions at a lower cost suitable for investors seeking risk managed capital appreciation and income investments.  

Foundation Mutual Funds are designed around baskets of ETFs that provide cost effective broad market exposure. Using our quantitative risk and return methodology to determine tactical asset allocation, we underweight or overweight certain asset classes and/or sectors to outperform the market while at the same time prudently managing risk. Our disciplined approach ensures that each portfolio always holds the most attractive mix of investment vehicles. 

While the majority of funds are held in broadly-based ETFs chosen for their investment merits and the exposure they provide to certain asset classes, each portfolio also allocates capital to a sector theme, providing exposure to specifically targeted segments of the economy and providing potential for enhanced returns. 

With in-depth investment knowledge honed over decades in the investment industry, practical skills, dedication and a disciplined approach, we are able to systematically exploit market inefficiencies and imbalances to create value for unit holders by delivering market-beating risk-adjusted returns. 

ETFs plus asset allocation plus opportunistic sector exposure; three pillars that form a simple yet unique strategy to reduce risk and provide stable returns. It all adds up to a foundation for a successful investment program.