Cougar Global is a global tactical ETF strategist who uses macroeconomic multiple scenario analysis and an advanced statistical process to model over 20 global asset class categories and minimizes downside risk using exclusively ETF’s. Cougar Global combines in a proprietary fashion “postmodern portfolio theory,” “rational beliefs” understanding of the behavior of global capital markets, “bootstrapping” statistical simulation techniques, and multiple macroeconomic scenario analysis. Cougar Global has been using the same investment philosophy since 1993, since which time Cougar Global has constantly refined its investment process. The emergence of ETFs in recent years has enabled Cougar Global to fully implement its investment expertise.
Cougar Global models the following asset class categories:
ETFs are baskets of securities that trade under a symbol on a public stock exchange. Cougar Global uses ETFs based on broad indices which provide comprehensive exposure to the underlying index modeled. Modeled indices include the Russell 2000, S&P/TSX Composite and MSCI Europe.
Cougar Global strives to use ETFs which meet the following criteria:
- Cost-effective way to gain access to an entire asset class in a single security
- Exact replica of the indices Cougar Global uses in its quantitative model – there are no “Manager Surprises”
- Reduction in the number of “trading events” that generate transaction costs
Cougar Global offers four managed ETF portfolio mandates: MAR 6, MAR 8, MAR 10 and MAR 12. The MAR 6 is the most conservative and the MAR 12 the most aggressive. Each mandate is constrained to have exposure at a specific level of downside risk.
Cougar Global typically recommends the MAR 6 mandate for clients who require a regular income from their account. The rate and timing of withdrawals will have an impact on return. Ideally, some growth is desired before withdrawals begin.
Cougar Global is not subject to restrictions nor has set any restrictions on investing in any particular asset classes. This also applies to each individual MAR mandate.
No, Cougar Global aims to achieve total returns not tax efficiency.
Cougar Global may rebalance more often than monthly if a change in the current outlook for global capital markets occured, such as a chaos scenario.
No, short or inverse ETFs are not used. Cougar Global is a long-only ETF strategist.
No, Cougar Global’s process is based on market behavior under various macroeconomic scenarios and not on market timing.