An equity-focused portfolio series that pairs concentrated U.S. large cap exposure with a three-strategy hedge sleeve, designed to seek upside participation while potentially reducing downside risk.
All investments involve risk, including possible loss of principal. Past performance does not guarantee future results. References to “downside protection” describe an investment objective, not a guarantee of performance. Actual results have varied across portfolio variants and market periods, and certain variants have experienced drawdowns greater than those of their respective benchmarks. Investors should not assume the strategies will provide reduced losses, smaller drawdowns, or superior downside results in all market environments.
We believe most investors want long-term equity returns. What they don't want is the 30-50% drawdowns that come with them. The traditional solution is to add aggregate bonds, but research commonly finds that a traditional 60/40 stock-bond portfolio is dominated by equity risk, with equities often contributing roughly 85% to 90%+ of total portfolio volatility.
The Hedged Equity portfolios take a different approach. Instead of replacing equities with bonds, we pair a concentrated equity position with three liquid alternative strategies, each designed to respond to a different phase of a market downturn.
The hedge sleeve stays constant at 67% of the portfolio. Only the equity component changes across the three variants, giving you more or less equity participation without changing the diversifiers underneath.**
The result is a portfolio that seeks to participate in equity upside while potentially reducing the depth and duration of drawdowns.
**Actual portfolio weights may vary between rebalances due to market movements and other portfolio activity.
All investments involve risk, including possible loss of principal. The strategies are designed to seek lower portfolio risk but this is not guaranteed. Asset class diversification and hedging will not necessarily improve an investor’s returns and cannot eliminate the risk of investment loss.
The goal of each component is to seek a defensive response to different stages of a market downturn.
A long/short equity fund that is structured to be negatively correlated to U.S. equities. When markets sell off sharply, the fund is designed to rise immediately. The portfolio's first line of defense against sudden drawdowns.
A managed futures strategy with a goal to profit from sustained price trends across global commodities and rates. Seeks to generates returns during prolonged bear markets when a quick reversal doesn't come.
A systematic global macro fund that seeks returns within and outside equities across bonds, currencies, commodities, and global equity indices. Correlation to equities varies with underlying trends, but the goal is stability across market cycles, particularly during periods of defined trends.
The descriptions above reflect the intended roles of each strategy within the portfolio. There can be no assurance that any strategy will achieve its objective, maintain any particular correlation profile, or perform as expected in any market environment. All investments involve risk, including possible loss of principal.
First Responder disclaimer: Negative correlation to U.S. equities is not guaranteed and may vary over time. The strategy may not rise during all market selloffs and may not provide effective protection against all sudden drawdowns.
Second Responder disclaimer: The strategy’s ability to benefit from sustained price trends is not guaranteed. It may not generate positive returns during all prolonged bear markets or in periods of trend reversals, disruptions, or low trend persistence.
Broad Diversifier disclaimer: Returns, correlations, and portfolio stability are not guaranteed and may vary across market environments. The strategy may not provide positive returns or diversification benefits in all market cycles or during all periods of market stress.
The hedge sleeve is maintained as part of the portfolio, while the equity allocation may vary. Greater notional equity exposure generally increases the portfolio’s sensitivity to equity market movements, including both upside participation and downside volatility.
† Balanced and Enhanced Equity variants use leveraged ETF products. Leveraged ETFs involve additional risks, including magnified losses, and may not be suitable for all investors.
All returns are annualized. 1-Year Return period: April 1, 2025 – March 31, 2026. Net of a 2.0% model fee. As of March 31, 2026. Past performance does not guarantee future results.
| Portfolio | 1-Year Return | Since Inception | Std. Dev | Max Drawdown | Sharpe | Beta | Alpha |
|---|---|---|---|---|---|---|---|
| Hedged Equity | 6.53% | 4.14% | 6.76% | -7.74% | 0.00 | 0.41 | -1.64 |
| iShares Core Conservative (AOK) | 9.64% | 8.30% | 5.29% | -4.96% | 0.64 | 0.34 | -0.53 |
| Balanced Equity | 13.08% | 7.98% | 12.08% | -12.58% | 0.27 | 0.94 | -2.30 |
| iShares Core Moderate (AOR) | 14.75% | 12.33% | 9.04% | -9.77% | 0.60 | 0.62 | -2.00 |
| Enhanced Equity | 18.90% | 12.30% | 17.13% | -16.35% | 0.42 | 1.31 | -0.50 |
| iShares Core Aggressive (AOA) | 18.32% | 15.23% | 11.54% | -12.94% | 0.68 | 0.83 | -1.63 |
Composite performance of all fully discretionary portfolios managed by PMV Capital Advisers, LLC. Source: Ycharts. All returns are annualized. Since inception return and risk statistics for Hedged Equity: 2/1/2025. Since inception return and risk statistics for Balanced and Enhanced: 3/1/2025. Five-year and ten-year performance information is not available because the strategy does not yet have sufficient performance history. The risk statistics shown are based on fewer than 30 periods, which is a limited sample size. As a result, the statistics may not be reliable, may change materially as additional data becomes available, and may not be representative of the strategy’s longer-term risk profile. Leveraged ETFs are non-diversified and entail certain risks, including risk associated with the use of derivatives (swap agreements, futures contracts and similar instruments), imperfect benchmark correlation, leverage and market price variance, all of which can increase volatility and decrease performance. Leveraged ETFs may not be suitable for all investors.
Metric Definitions — Std. Dev: Annualized standard deviation of monthly returns; measures return volatility. Max Drawdown: The largest peak-to-trough decline in portfolio value during the measurement period. Sharpe: Annualized excess return above the risk-free rate divided by standard deviation; higher values indicate better risk-adjusted performance. Beta: Sensitivity of the portfolio’s returns relative to the benchmark; a beta of 1.0 means the portfolio moves in line with the benchmark. Alpha: Annualized excess return relative to the benchmark after adjusting for market risk (beta); positive alpha indicates outperformance on a risk-adjusted basis.
Important Risk Information
All investments involve risk, including possible loss of principal. These portfolios have short track records that may not be representative of long-term performance or performance across full market cycles. The hedge sleeve strategies (including long/short equity, managed futures, and systematic global macro approaches) may underperform during sustained bull markets and may not fully protect against drawdowns. Leveraged ETF products used in Balanced and Enhanced variants involve additional risks including magnified losses. Past performance does not guarantee future results.
Portfolios designed for simplicity, transparency, and risk-management.
No additional portfolio management cost. Our fee is embedded in the ARP ETF expense ratio. The model portfolios themselves are free to use. For additional information regarding ARP fees and expenses, please refer to the Fund’s Prospectus.
Invest through your existing advisor, implement the allocations yourself, or let PMV handle it for you. Your choice.
Every position is a liquid, exchange-traded fund. No lockups or alternatives paperwork. ETF holdings are publicly disclosed, providing transparency into underlying exposures.
Trade on Schwab, Fidelity, and other major platforms. No need to change custodians or open new accounts.
We believe the investment industry spends most of its energy trying to pick stocks that beat the market. PMV believes there is another source of performance improvement that almost no one is paying attention to, and it lives at the asset allocation level.
PMV Capital was founded to capture that opportunity. We seek to build portfolios where risk is balanced across uncorrelated assets, which can lower risk faster than it may lower return. That efficiency can then be scaled higher for every investor on the risk spectrum. We believe it is a more efficient path, and we designed our portfolios to pursue better outcomes. These portfolios are available to you today.
With over 15 years of experience in portfolio construction and asset allocation, Daniel built PMV to solve a problem he saw firsthand. Advisors and their clients were being underserved by portfolios that looked different on the surface but carried the same underlying risks. PMV's strategies are the product of that conviction, designed to pursue more effective diversification than many traditional portfolios provide. Portfolio Manager of the PMV Adaptive Risk Parity ETF (NYSE ARCA: ARP).
The risk and return statistics shown are derived from the time-weighted net returns of a composite of fully discretionary portfolios managed by PMV Capital Advisers, LLC according to the strategy, subject to composite construction policies that may require the exclusion of certain accounts. Net returns reflect underlying fund management fees, fund operating expenses, and the deduction of a model investment advisory fee of 2.0%, applied monthly. Actual advisory fees may vary.
Benchmark Description (AOA): The iShares Core Aggressive Allocation ETF (AOA) is a multi-asset, globally diversified exchange-traded fund designed for investors seeking a higher long-term growth profile through an aggressive allocation strategy. AOA seeks to track the performance of the S&P Target Risk Aggressive Index, which represents an asset mix with a tilt toward equities (approximately 80%) and a modest allocation to fixed income (approximately 20%). The fund is implemented as a "fund-of-funds," investing primarily in underlying iShares equity and bond ETFs to provide broad market exposure and automatic rebalancing to maintain its target risk profile, making it suitable as a core long-term growth benchmark with higher expected return and higher volatility relative to more conservative allocations. Source: Ycharts.
Benchmark Description (AOR): The iShares Core Growth Allocation ETF (AOR) is a multi-asset, diversified exchange-traded fund that serves as a core benchmark for a growth-oriented balanced allocation strategy. AOR seeks to track the performance of the S&P Target Risk Growth (Balanced) Index, which reflects a strategic mix of equity and fixed income exposures intended to balance capital appreciation and income generation with moderate risk. The fund allocates roughly 60% to equities and 40% to fixed income, using a portfolio of underlying iShares ETFs to capture broad U.S. and international market exposures, and periodically rebalances to maintain its target risk profile. This balanced approach makes AOR a representative benchmark for investors seeking growth with a measured level of diversification and risk control. Source: Ycharts.
Benchmark Description (AOK): The iShares Core 30/70 Conservative Allocation ETF (AOK) is a multi-asset, globally diversified exchange-traded fund designed to represent a conservative risk profile by allocating approximately 30% to equities and 70% to fixed income. The fund seeks to track the performance of the S&P Target Risk Conservative Index, which reflects a stable, conservative asset allocation strategy aimed at generating current income, preserving capital, and providing long-term total return with lower volatility relative to equity-heavy benchmarks. AOK achieves its investment objective by investing primarily in underlying BlackRock iShares core equity and bond funds, spanning U.S. and international markets, and rebalancing periodically to maintain its target risk exposure. Source: Ycharts.
Past performance does not guarantee future results. There is no guarantee that any investment strategy or account will be profitable or will avoid loss. Individual investors' objectives, financial situations, their specific instructions, or restrictions on investments, or the time at which an account is opened, or additions or distributions are made may result in different trades and returns. Performance for the strategy presented may differ materially (more or less) from the performance of the comparable benchmark. Market and economic conditions could change in the future producing materially different returns. Results do not reflect the impact of taxes for taxable accounts or their owners.