Q2 2024 Investment Results: ETF Model Portfolios Compared

In the second quarter of 2024, Quantlake's portfolios exhibited a spectrum of performances, demonstrating the efficacy of our diverse investment strategies. Here’s an in-depth look at how our Classic, Smart, and Dynamic portfolios fared, grounded in real-world applications and supported by evidence-based insights.

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Classic Portfolios: Steady Growth with Balanced Strategies

• Our Classic portfolios showcased solid performance, with the US Buffett-Inspired portfolio leading the pack. This portfolio, emulating Warren Buffett's investment philosophy with a significant fixed income component, gained 4.02% in Q2, achieving a year-to-date (YTD) return of 13.85%. The US ESG 80/20 portfolio, focusing on sustainable investments, saw a 4.17% increase for the quarter, bringing its YTD performance to 12.35%. Similarly, the US 80/20 portfolio recorded a 3.51% gain, resulting in a 12.04% YTD return.
• Other notable performers include the Bogle-Inspired portfolio, reflecting John Bogle's principles, which grew by 2.96% this quarter (10.77% YTD), and the Global Buffett-Inspired portfolio, with a 2.29% quarterly gain (9.57% YTD). On the conservative side, the US ESG 60/40 and US 60/40 portfolios achieved quarterly gains of 3.13% and 2.64%, respectively.
• For comparison, during the second quarter (2Q), the SPDR® S&P 500® ETF Trust (SPY) achieved a 4.38% return, resulting in a 15.22% year-to-date (YTD) performance. Meanwhile, the iShares Core U.S. Aggregate Bond ETF (AGG) posted a minimal 0.03% return for the quarter, with a YTD return of -0.7%. The iShares Core Moderate Allocation (AOM) recorded a 1.06% gain in 2Q, contributing to a YTD performance of 4.16%. These benchmarks provide a useful reference for evaluating the performance of Quantlake’s portfolios.

Smart Portfolios: Leveraging Data for Strategic Gains

• Our Smart category portfolios also demonstrated varied success. The Core Trio portfolio, balancing innovation with stability, led with a quarterly gain of 5.73%, resulting in a 14.33% YTD return. The Bogle+ portfolio, modernizing traditional investment principles with data-driven insights, grew by 3.58% this quarter (12.98% YTD). The Tactical Rotation portfolio, employing strategic ETF adjustments, recorded a 2.63% gain, achieving a 10.61% YTD performance
• The Steadfast Horizon and Target Volatility portfolios showed steady growth with quarterly gains of 1.36% and 1.88%, respectively, reflecting balanced strategies focusing on stability and optimized returns. However, portfolios like Dividend Focus and Sector Rotation faced minor setbacks, with slight quarterly declines.
• As a comparative benchmark, the iShares Core Growth Allocation ETF (AOR) recorded a 1.57% return for the quarter, resulting in a YTD return of 6.31%. 

Dynamic Portfolios: High-Growth Potential Through Innovation

• Our Dynamic portfolios showcased some of the most impressive gains, with the US Leverage Growth portfolio achieving a remarkable 8.33% quarterly gain, pushing its YTD performance to 24.88%. The Innovation Ventures Crypto portfolio also performed strongly, increasing by 5.96% this quarter (21.88% YTD). The Innovation Ventures portfolio, focusing on cutting-edge sectors, recorded a significant 7.41% gain, contributing to a 16.88% YTD performance.
• Balanced portfolios like Growth & Stability and US Equity Amplifier also delivered solid returns, highlighting the benefits of strategic ETF selection and market leverage. On the more conservative end, the Browne+ and All Weather+ portfolios achieved quarterly gains of 3.78% and 2.93%, respectively, emphasizing diversified and resilient investment strategies.
• As a comparative reference, the iShares Core Aggressive Allocation ETF (AOA) returned in the 2Q 2.08% and 8.6% YTD.

Conclusion

Overall, our portfolios across the Classic, Smart, and Dynamic categories have demonstrated robust performance in the second quarter of 2024. These results reinforce Quantlake's vision of utilizing quantitative data for decision-making, advocating for evidence-based investing, and underscoring the superiority of long-term investment strategies over short-term gains.

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Happy Long-Term Investing from the Quantlake Team!

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