Stadion’s Tactical Growth Fund Recategorized by Morningstar
Four-Star Fund is One of Industry’s Earliest ETF Marketplace Entrants
WATKINSVILLE, Ga.--(BUSINESS WIRE)--Stadion Money Management (www.stadionmoney.com), a money management firm known for its tactical investment solutions, all of which share Stadion’s defensive growth philosophy, announced that all share classes of the Tactical Growth Fund has been re-categorized by Morningstar as a tactical allocation solution and simultaneously moved to that category.
“Our Tactical Growth Fund is now appropriately among its peers”
Launched in 2004 with an objective of long-term capital appreciation while mitigating risk, the Stadion Tactical Growth Fund is one of the industry’s earliest ETF marketplace entrants.
“Our Tactical Growth Fund is now appropriately among its peers,” said Brad Thompson, Stadion’s Chief Investment Officer. “What this means is that financial advisors conducting diligence on tactical solutions will be able to more easily assess our fund’s attributes alongside that of its closest competitors. Our thanks to Morningstar for making this category change.”
The first step of the fund’s risk management process is to rank the ETF universe using the firm’s proprietary Sharpe Ratio analysis to provide a clear view of low-, medium-, and high-risk ETFs. Secondly, Stadion employs a security selection process using Sharpe Ratio analysis for domestic equity, international equity, and defensive holdings, allocating to lower-risk ETFs. In the final step of the process, the fund will modify its allocation in an attempt to reduce risk, as necessary. The fund shifts between domestic equity ETFs along with international ETFs, commodity, cash, and fixed income based on market risk.
As of 6/30/14 the Stadion Tactical Growth Fund, Class I was rated five stars over both three and five years, and four stars overall. Morningstar rated the Stadion Tactical Growth Fund, Class I among 326, 191, 120 and 60 Tactical Allocation funds for the overall rating and the 3-, 5-, and 10-year periods (as applicable) ending 6/30/2014, respectively. Morningstar Ratings™ are based on risk-adjusted returns. Compared to the S&P 500 Index through 6/30/14, the Beta of the Stadion Tactical Growth Fund is 0.88.
About Stadion Money Management
Established in 1993, Stadion Money Management is an independent firm headquartered near Athens, Georgia. Stadion’s proprietary money management process is focused on minimizing risk and participating in up markets through investments in ETFs. As of 6/30/2014 Stadion managed approximately $5.6 billion. Visit Stadion Money Management at www.stadionmoney.com.
Performance data quoted represents past performance. Past performance is no guarantee of future results. Investments are subject to risk, and any of Stadion’s investment strategies may lose money.
There are additional costs and potential risks associated with investing in domestic and international exchange-traded funds (ETFs). Investments in equities, including ETFs, are subject to market risks, sector risks, tracking risks, ETF net asset value and market price risks. Additionally, investors will indirectly bear fees and expenses charged by the underlying ETFs and investment companies in which a Stadion portfolio invests. International investing involves certain risks not usually associated with domestic investing, including currency fluctuation, economic and political volatility, foreign taxation and differences in financial standards.
The Sharpe Ratio measures the excess return per unit of deviation, or risk. Beta is a measure of systematic risk, or the sensitivity of a manager to movements in the benchmark. A beta of 1 implies that you can expect the movement of a manager’s return series to match that of the benchmark used to measure beta. The index shown is defined as follows. The S&P 500 Index is the Standard & Poor’s Composite Index of 500 stocks and is a widely recognized, unmanaged index of common stock prices. One cannot invest directly in an index.
For each fund with at least a three-year history, Morningstar calculated a Morningstar Rating TM based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a fund’s monthly performance (including the effects of sales charges, loads, and redemption fees), placing more emphasis on downward variations and rewarding consistent performance. The top 10% of the funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star. (Each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in the distribution percentages.) The Overall Morningstar Rating TM for a fund is derived from a weighted average of the performance figures associated with its three-year, five-year and ten-year (if applicable) Morningstar Rating TM metrics. Stadion Tactical Growth Fund was rated against the following numbers of U.S. domiciled Tactical Allocation funds over the following time periods: 326 Funds for the Overall rating, 191 funds in the last three years, 120 funds in the last five years, and 60 funds in the last 10 years. With respect to these Tactical Allocation funds, the Station Tactical Growth Fund, Class I received a Morningstar Rating TM of 4 stars Overall, 5 stars for the three years, 5 stars for the 5 years, and 3 stars for the 10 year periods, respectively. These rankings are for the Institutional (I) share class only; other classes may have different performance characteristics.
© 2014 Morningstar, Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
An investor should consider the investment objectives, risks, and charges and expenses of the Stadion Funds carefully before investing. The prospectus contains this and other information about the Funds. A copy of the prospectus is available by calling Stadion Funds directly at (866) 383-7636 or Stadion Money Management, LLC, the investment advisor, at (800) 222-7636. The prospectus should be read carefully before investing.
The Stadion Funds are distributed by ALPS Distributors, Inc. STN000595 11/15/14