Global Asset Allocation: Decathlon
Global, go-anywhere products driven by a machine learning approach that helps eliminate emotion from decision-making and aims to deliver consistent, low-volatility returns.
How the strategies fit into client portfolios
As asset allocation strategies with targeted equity ranges, Decathlon can be used as a core holding in a portfolio, or it can be a 25-30% wedge used to diversify holdings and adjust equity exposure based on market conditions.
A disciplined, data-driven approach
The system analyzes the historical returns and volatility of ~230 ETFs to identify and act on repeating market patterns. It operates by:
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Selecting from diverse choices.
The Decathlon strategies’ universe consists of ~230 ETFs and was designed to provide the system with diverse options, ranging from broad asset classes to focused or niche ETFs.
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Identifying repeating patterns.
Decathlon’s algorithms are designed to identify daily performance and behavior patterns for each ETF in the investment pool.
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Ranking ETFs based on patterns.
The system then uses the predicted patterns to rank each ETF in the investment universe daily, from the most desirable to the least, based on the risk/reward expected.
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Manager selection process.
Our portfolio managers apply the rankings to select which of these top-ranked ETFs should be included in the portfolio.
| Strategy | Benchmark | Notes |
|---|---|---|
| AIM Decathlon Core Conservative 4-7% Expected Volatility Range 0-30% Expected Equity Exposure |
20% MSCI ACWI / 80% ICE BofA US Broad Market Index |
A “neutral” asset allocation of the strategy expected over time. However, there will be significant deviation from this asset allocation over shorter periods due to the strategy’s opportunistic nature. |
| AIM Decathlon Core Moderate 7-12% Expected Volatility Range 30-70% Expected Equity Exposure |
50% MSCI ACWI / 50% ICE BofA US Broad Market Index |
A “neutral” asset allocation of the strategy expected over time. However, there will be significant deviation from this asset allocation over shorter periods due to the strategy’s opportunistic nature. |
| AIM Decathlon Core Growth 11-16% Expected Volatility Range 50-100% Expected Equity Exposure |
70% MSCI ACWI / 30% ICE BofA US Broad Market Index |
A “neutral” asset allocation of the strategy expected over time. However, there will be significant deviation from this asset allocation over shorter periods due to the strategy’s opportunistic nature. |
| AIM Decathlon Conservative (Profile 1)* 4-5.5% Expected Volatility Range 0-30% Expected Equity Exposure |
15% MSCI ACWI / 85% ICE BofA US Broad Market Index |
A “neutral” asset allocation of the strategy expected over time. However, there will be significant deviation from this asset allocation over shorter periods due to the strategy’s opportunistic nature. |
| AIM Decathlon Moderate (Profile 3)* 7-10.5% Expected Volatility Range 30-70% Expected Equity Exposure |
50% MSCI ACWI / 50% ICE BofA US Broad Market Index |
A “neutral” asset allocation of the strategy expected over time. However, there will be significant deviation from this asset allocation over shorter periods due to the strategy’s opportunistic nature. |
| AIM Decathlon Growth (Profile 5)* 11-14.5% Expected Volatility Range 50-100% Expected Equity Exposure |
70% MSCI ACWI / 30% ICE BofA US Broad Market Index |
A “neutral” asset allocation of the strategy expected over time. However, there will be significant deviation from this asset allocation over shorter periods due to the strategy’s opportunistic nature. |
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