Affiliate Money Management
Account Program
Thank you for your interest in Merrimac Corporate
Securities, Inc. affiliate money management account
program. Through these affiliations with companies like
Team Advisory Corp. Inc and SDR money management services,
both registered Investment Advisory firms, we can offer
specific money management investment programs. The professional
experience and expertise of each of these Advisory firms
has given Merrimac Corporate Securities, Inc. clients
specific investment account programs believed to provide
the unique ability to fulfill various investment goals,
objectives and risk tolerances. Merrimac Corporate Securities,
Inc. through these affiliations is proud to offer what
we consider to be refreshing alternatives to conventional
money management and mutual fund investing.
Below you will find a brief overview of each of these
investment strategies. Each strategy is uniquely designed
as a stand-alone investment portfolio or can be used
in combination with each other. Each portfolio strategy
is designed to compliment one another through diversification
into multiple investment asset groups, such as ETF’s
and/or individual equities. The objective is to further
diversify and blend multiple equity asset classes and
strategies to potentially fulfill client goals, objectives,
and accommodate individual client risk tolerance.
However, regardless of any investment strategy, all
equity investments possess sector rotation, market,
and event risk that can cause loss.
Managed Accounts Programs
Total Team Income
Account – Moderate to long- term growth with moderate
risk. The Total Income Account’s objective
is to provide positive, consistent risk controlled returns
in excess of the target benchmark, from an income producing
portfolio of closed end funds, preferred stocks, REITS,
and ETF’s. The basis of the Income investment
philosophy here is to buy high quality issues within
a risk-adverse, actively managed portfolio that seeks
attractive opportunities along the yield curve. Our
experience with income portfolios has shown that building
income assets into one’s portfolio have provided
a highest level of risk adjusted total return over the
long run, while reducing portfolio volatility. The Total
Team Income Account can provide relative safety and
predicable income. By focusing on total returns within
a highly disciplined process we seek to provide risk
controlled returns. Consider adding fixed income to
your portfolio only if your objective is to gain diversification,
risk reduction, and expected streams of income. go back
Total Team ETF,
(Exchange Traded Funds) Analyzer Account – Short
to Moderate-term trading growth with risk. Management
believes by combining its proprietary quantitative,
technical, and market analysis to Exchange Traded Funds
(ETF’s) and their underlying stocks, investing
in ETF’s can create a nice blend of timely investment
opportunities with improved management of inherent market
risk. An ETF is a listed stock that invests in a selection
of equities based on the individual investment focus
of that specific ETF. This ETF equity strategy can be
considered less risky than individual stock investing
because ETF’s are generally diversified into a
minimum of 30 to 50 selective equities. As an overall
strategy, Management looks to diversify its clients
into multiple ETF’s in an effort to take advantage
of potential market and sector trends.
Two types of ETF’s are utilized. Sector ETF’s
and Broad Market ETF’s. Sector ETF’s implemented
look to identify depressed sectors where the quantitative
and technical data may be improving signaling a potential
reversal of this negative trend. Or, we could potentially
invest in a sector that has been a market leader for
quite awhile and has the characteristics of a group
that is showing no signs of deterioration.
Broad sector ETF’s are used to attempt to identify
when markets may be extended due to short term over-buying
and/or over-selling in the major markets. The Investment
Advisor evaluates over 1500 individual equities based
on the technical trend makeup of the stocks. The Specific
EFT’s utilized are the SPX (S&P 500), DIA
(Dow Jones Industrial Average) and QQQQ’s (NASDAQ
100).
This program looks to limit individual stock risk
exposure by diversification into core sectors and market
indices that invest into multiple stock positions of
each specific ETF. go back
Total Team
Aggressive Growth Trading Account – Short-term
trading with high risk. This strategy has been
the primary model account on which all other strategies
have been developed. This investment discipline aims
to invest in equities possessing both superior technical
and quantitative “Power Ranks” relative
to other stocks and sectors. Management may exit those
stocks whose quantitative “Power Ranks”
begin to deteriorate relative to other equities within
the universe of stocks being evaluated. This proprietary
research attempts to capitalize on the dynamic rotation
of equities, sectors and markets. The Investment Advisor
looks to capitalize on these changing trends by seeking
to maintain stocks with positive relative price strength
as compared to the S&P 500 index. Lastly, Management
likes to put an ETF component into this account to improve
potential returns while reducing the risk signature
of the individual equity investments within this account.
This is not a buy–hold strategy. This strategy
is suitable for investors who are willing to accept
potential high risk and volatility. Management uses
this proactive investment strategy in an effort to achieve
the potential for larger gains than that of the other
investment styles. This program will generate transaction
costs in excess of other investment programs due to
the active nature of this strategy. go back
Growth and
Income Account - Short to moderate term trading with
some income components and risk. This investment
strategy incorporates the same principles as the Team
Aggressive Growth Equity Account (Above) as a partial
allocation component. In addition, management incorporates
an allocation of select income components such as preferred
stocks, convertible preferred stocks, utilities and
REIT’s, along with any other vehicles needed to
generate income moderating the volatility and risk exposure
signature. Such income positions in this account may
be held longer to fulfill their individual dividend
payment objective despite the short-term analysis of
these equities. This account will not be investing into
individual bonds unless specifically requested. go
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