Tactical ETF Portfolio Shift Commentary 02/12/2016

Within our fixed allocations, we have lowered credit risk by exiting our allocations to both high yield debt and preferred stocks. While both markets have weakened so far this year, we believe there remains considerable downside risk, given recent credit, economic, and market trends. Our fixed income allocation has generated positive performance in 2016, offering a buffer to equity allocations. Given increased volatility across all risk assets and higher macro uncertainty overall, we believe it is prudent at this time to lower risk in our fixed allocation to ensure stability of returns.