The Argus Model Portfolios combine the benefits of our proprietary fundamental six-point analytical system, modern portfolio theory and timely ideas from our award-winning team of analysts to produce four hypothetical portfolios along the risk/reward spectrum.
Our consistent investment approach, low turnover and clear, written communication of each buy/sell make our model portfolio service the choice of our numerous wealth management organizations, which use our models to manage US equity allocations across client accounts.
The Model Portfolio process starts with the Argus Research Universe of Coverage. This dynamic universe has a market capitalization greater than the S&P 500, and is diversified across large, mid and small caps, as well as all 10 economic sectors. Within this Universe, Argus' team of award-winning analysts applies the firm's fundamental six-point system to determine BUY, HOLD and SELL ratings on stocks.
The Model Portfolio Management team, led by Director of Research Jim Kelleher, CFA, reviews the coverage, ratings and changes continuously, and makes decisions on which sectors to emphasize and which stocks to include in each of the hypothetical portfolios.
- The Equity Income model portfolio focuses on generating an above-average level of income for investors.
- The Growth & Income model seeks long-term growth of capital as well as current income.
- The Institutional model seeks total return through holdings of approximately 50 world-class companies.
- The Mid-Cap Growth model seeks capital growth.
In managing the model portfolios, the team applies a comprehensive approach. Model portfolio managers interact regularly with other Argus research analysts to obtain their best "total-return" ideas within the parameters of each model. Software that draws on our research database enables the managers to perform scenario analyses. The managers, leveraging performance and benchmark data, and working within the portfolios' objectives and constraints, regularly rebalance the models. Changes to the portfolios are distributed to clients via e-mail.
Performance statistics -- net of standard fees and transaction costs -- are updated quarterly. Past performance of the model portfolios is not indicative of future performance.