Portfolio Strategies

Direxion is committed to helping advisors and investors implement portfolio strategies that strive to increase diversification and improve risk adjusted returns. On this page we offer details on several useful strategies as well as present holistic asset allocation strategies designed by Direxion and Wilshire Funds Management, the global investment management business unit of Wilshire Associates Incorporated.

Strategy Series

The Direxion Strategy Series has been designed to illustrate the benefits of numerous strategies used to implement an active investment approach. These strategies may be useful in reducing volatility and increasing portfolio performance. (click on name to view)

Hedging >

Hedging is the strategy of purchasing an inversely related investment to reduce the risk of adverse price movements. A hedge can help protect gains and reduce volatility in a declining or volatile market.

High Yield >

Relatively lower volatility levels in the High Yield sector may provide investors with opportunities which are uncommon in the equity market. The Direxion Dynamic High Yield Bond and HY Bear fund provide liquid access to the High Yield marketplace which provides investors with tools to implement their strategies.

Long Short Relative Value >

A Long/Short Relative Value Strategy is used to take advantage of a perceived mismatch between the relative value of two investments. It allows an investor to have selective participation in the market with protection against excessive market volatility.

Portable Alpha >

The Portable alpha strategy has traditionally been implemented by institutional investors to add diversification to a portfolio while maintaining equivalent exposure to the original allocation. By employing leverage to free up capital, proceeds are typically invested into alpha generating, non-correlating assets.

Partial Leveraging >

Leverage can allow an investor to maintain additional exposure to a position with the same or reduced amount of capital. A partial leveraging strategy is used to increase exposure to an underlying investment through the use of a leveraged investment.

To discuss these strategies and how they may best fit into your investment approach, please contact us at info@direxionfunds.com.