EverBank Wealth Management Launches Managed Currency Portfolios
New Portfolios Offer Actively Managed Approach to Currency Allocations Designed to Protect Against U.S. Dollar Fluctuation
Apr 09, 2013, 01:27 ET
ST. LOUIS, April 9, 2013 /PRNewswire/ -- EverBank Wealth Management, Inc., a subsidiary of EverBank, announced today the launch of its two Managed Currency Portfolio solutions. The new portfolios, the EverBank Wealth Management® Managed Currency Portfolio with Metals1 2 and the EverBank Wealth Management® Managed Currency Portfolio1, are designed to give investors a managed approach to asset diversification using non-U.S. Dollar currencies.
"Our banking group has offered investors access to foreign currencies through its WorldCurrency® products for over 20 years, and interest has recently peaked as investors have begun to understand the importance of true diversification through assets like currencies and precious metals," said Chris Gaffney, Senior Market Strategist of EverBank Wealth Management. "Wealth Management developed these solutions to better address the needs of clients who are looking for diversification through foreign currencies, a more managed, active approach to the investing process and a deep understanding of global political and economic risks, which our team of experts offers."
The EverBank Wealth Management Managed Currency Portfolio with Metals provides asset diversification using an array of global currencies and precious metals to hedge against fluctuations of the U.S. dollar. The investment universe will include both developed and emerging economies whose values are expected to increase versus the U.S. dollar over time. The EverBank Wealth Management Managed Currency Portfolio offers a similar managed process, but removes metals from the portfolio to provide investors with retirement accounts an opportunity to include the solution in their IRAs.
"Our bank clients have been clear about their interest in currencies for some time, but many had concerns about their ability to identify the right mix of global currencies on their own," said Christie Zarkovich, Chief Investment Officer of EverBank Wealth Management. "These two new solutions were designed to give those clients the advantage of our team's expertise in managing foreign currency exposure using both tactical and strategic objectives to achieve risk-based returns."
For more information about the portfolios, including a full description of the investment objective and risks visit www.everbankwealthmanagement.com.
ABOUT EVERBANK WEALTH MANAGEMENT, INC.
EverBank Wealth Management, Inc. is an SEC-registered investment adviser delivering institutional-caliber portfolios constructed using sophisticated asset allocation techniques to develop globally diversified, risk focused portfolios. Each portfolio is designed to include growth, stable return, and inflation protection assets in an effort to limit volatility and guard against recognized and indeterminate risks. The firm employs both active and passive management through mutual funds, separate accounts, exchange traded funds (ETFs), and individual securities, using global equities, global fixed income, currencies, commodities, and liquid alternative investment classes within the portfolio construction process.
ABOUT EVERBANK FINANCIAL CORP
EverBank Financial Corp, through its wholly-owned subsidiary EverBank, provides a diverse range of financial products and services directly to clients nationwide through multiple business channels. Headquartered in Jacksonville, Florida, EverBank had $18.2 billion in assets and $13.1 billion in deposits as of December 31, 2012. With an emphasis on value, innovation and service, EverBank offers a broad selection of banking, lending and investing products to consumers and businesses. EverBank provides services to clients through the internet, over the phone, through the mail, at its Florida-based financial centers and at other business offices throughout the country. More information on EverBank can be found at www.abouteverbank.com.
1Precious metals markets are volatile and unpredictable. This means the value of precious metals may fluctuate widely.
Currencies are highly volatile and fluctuate in value, sometimes significantly, due to a wide variety of economic, political, and social factors. Circumstances such as government restrictions, insurrections, the repudiation of sovereign debt, government printing of currency, economic indicators or other events can abruptly impact the value of a currency, or cause it to cease to exist or be actively traded. There is a risk that a government may impose foreign exchange controls or prohibit transactions in its currency. These exchange controls could prevent a holder from converting the currency to U.S. dollars or determining an exchange rate. Another risk of foreign currencies is that they may not trade on a centralized exchange, and as such the exchange rates could be more susceptible to manipulation.
Certain foreign currencies are not deliverable, for example the Chinese renminbi and Indian rupee, meaning that you will not be able to gain physical possession of the foreign currency and will be required to convert the currency to U.S. dollars before gaining access to the funds.
It is important that you carefully consider these factors and the potential for currency depreciation along with the rate of interest you may earn when assessing the use of foreign currencies as part of a broadly diversified investment strategy. Investing strategies that are non-correlated to the U.S. dollar carry risk. There can be no assurance that alternative investments will be profitable and will outperform asset classes that correlate to the U.S. markets.
EverBank Wealth Management very strongly recommends that your Managed Currency Portfolio (along with any other foreign currencies you might hold) comprise only a small portion of your total investable assets, with 20% as a maximum.
Please refer to EverBank Wealth Management's ADV Part 2 for more information. Past performance is not indicative of future returns, and the value of investments and the income derived from them can go down as well as up. Future returns are not guaranteed and a loss of principal may occur. Diversification strategies do not ensure a profit and do not protect against losses in declining markets. EverBank Wealth Management's portfolio risk-management process includes an effort to monitor and manage risk, but should not be confused with (and does not imply) low risk. Asset classes and the proportional weightings in the portfolios may change at any time without notice, subject to the discretion of EverBank Wealth Management.
EverBank Wealth Management, Inc. is an investment advisor registered with the Securities and Exchange Commission. It is not a bank. EverBank Wealth Management, Inc. may recommend or make available products and services offered by its parent company, EverBank, a member of the FDIC, and EverBank's subsidiary, EverTrade Direct Brokerage, Inc., a broker dealer registered with the Securities and Exchange Commission and a member of FINRA and SIPC. Investment services offered through EverBank Wealth Management, Inc.:
Are Not FDIC Insured
Are Not Bank Guaranteed
May Lose Value
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