Our Strategies

WhiteTip offers a range of equity and ETF strategies that are focused on limiting downside risk while maximizing the upside potential when risk/reward is favorable. All of our strategies strive to deliver attractive total returns over their relevant benchmarks over a full market cycle while providing less downside movement. Our goal is to allow high net worth clients, financial advisors, and institutional clients choose the right strategy, or combination of strategies to meet their investment objectives within their personal risk tolerance zone.

fixed income strategies

strategic corporate income strategy


We recommend this as a core fixed income strategy in an overall portfolio to capture income with capital appreciation while reducing portfolio risk as it monitors risk levels daily and will move to cash faster than other models. Can be used in Conservative, Income, or Balanced Models.
  • - Focus is on risk management, allowing us to manage drawdowns and provide alpha during selected time periods
  • - Core is based on a proprietary quantitative momentum model that switches between treasury bond ETFs and high yield bond ETFs
  • - Separate proprietary quantitative model dynamically manages low volatility bond ETFs and equity income ETFs as a satellite around the core
  • - Risk management overlay model dynamically manages allocations and determines 100% defensive mode using short term treasury equivalents or cash.
  • - In defensive mode allocation is 80% short term treasuries and 20% longer term treasuries
  • - In offensive mode allocation allocation shifts to 60-80% high yield bond ETFS and 20-40% low volatility equity income ETFs
  • - Typical portfolio maintains 10-20 ETFs
  • - Result is low vol consistant returns with low correlation to bonds or equities


ETF Equity strategies

adaptive global multi-asset etf strategy


We recommend this as a core strategy in an overall portfolio to gain full exposure to global equities, asset classes, sectors and alternatives.  This strategy is focused on capital appreciation while still managing portfolio risk as it monitors risk levels daily and will move to cash faster than other models. This can also be used as a total portfolio solution in smaller portfolios. Can be used in Growth, Balanced or Conservative models.
  • - Utilizes only ETFs from country, core market classes, alternatives, income, US sectors and cash
  • - Determine ETF ranking utilizing proprietary relative strength measurement
  • - Calculate final risk/reward score utilizing 15 proprietary statistical measurements with different weightings for each different objective
  • - Apply all measurements across 3 different timeframes with weighting applied to each timeframe
  • - Determine top ETFs from final score for each country, asset class, sector and alternative class to determine top 2-4 from each.
  • - Compare each of the final ETFs against a proprietary cash proxy to determine if investment can be made. Otherwise, cash is held. Can be 0-100 percent cash.
  • - Typical portfolio maintains 4-12 ETFs
  • - Allocation is dynamically managed using our risk management model overlay
  • - Process is repeated at the beginning of each month
  • - Daily calculations are made to determine if positions need to be trimmed or added to intra-month

adaptive sector etf strategy


We recommend this as a targeted alpha strategy to an existing portfolio to reduce risk while increasing alpha. While it does have the same risk management strategy as our All Asset Rotation, it utilizes a proprietary strategic relative strength / momentum allocation to identify favorable risk/reward sectors to capture capital appreciation. Can be used in Growth, Balanced or Conservative models.
  • - Utilizes only ETFs from US sectors and cash
  • - Determine ETF ranking utilizing our 15 proprietary risk/reward measurements combined with a proprietary relative strength normalized ratio measurement
  • - Calculate final risk/reward score utilizing proprietary statistical measurements with different weightings for each different objective
  • - Apply all measurements across 3 different timeframes with weighting applied to each timeframe
  • - Determine top 4 ETFs from final score
  • - Compare each of the final ETFs against a proprietary cash proxy to determine if investment can be made. Otherwise, cash is held. Can be 0-100 percent cash.
  • - Process is repeated at the beginning of each month
  • - Daily calculations are made to determine if positions need to be trimmed or added to intra-month


stock Equity strategies

adaptive equity momentum strategy


We recommend this as a targeted alpha strategy to an existing portfolio to gain full exposure to small, mid, large cap US equities and international ADR equities.  It uses the same risk management strategy as our ETF models so it provides downside risk management by not having a cash restriction.  Uses a proprietary  rules-based screen using both fundamental and technical factors to reduce qualified equity list. Final stock selection is determined by our proprietary relative strength / momentum algorithm to identify favorable risk/reward stocks to capture capital appreciation. Can be used in Growth or Balanced models.
  • - Can provide exposure to all asset classes and international ADR equities
  • - Two separate proprietary rule based screens are ran on each sector to determine top 30 stocks for those sectors
  • - Calculate final risk/reward score utilizing 15 proprietary statistical measurements with different weightings for each different objective
  • - Apply all measurements across 3 different timeframes with weighting applied to each timeframe
  • - Different weightings can be applied to all measurements to calculate final risk/reward score
  • - Allocation % weighting applied to each sector dynamically managed using our proprietary weighting algorithm
  • - Top 2-3 equities from each sector compared against a proprietary cash proxy to determine if investment can be made or cash is held. Can be 0-100 percent cash.
  • - Concentrated portfolio of  25-45 stocks with no single stock higher than 5% portfolio allocation and no sector higher than 20% portfolio allocation
  • - Process is repeated at the beginning of each month
  • - Daily calculations are made to determine if positions need to be trimmed or added to intra-month


liquid alternative strategies

Long / short equity etf strategy


We recommend this as a targeted risk based alpha strategy with low correlation to the S&P 500 while providing ongoing liquidity. It uses the same risk management strategy as our ETF models so it provides downside risk management by not having a cash restriction. A mathematically driven long / short equity aggressive growth strategy based on statistical arbitrage (Reversion to Mean) and trend momentum. The core objective is to manage risk (downside losses) to achieve positive performance in both up and down markets providing investors with superior, risk-adjusted returns with reduced correlation to the S&P 500.  Can be used as a liquid alt sleeve in Growth or Balanced models.
  • - Currently, runs across approximately 190 liquid ETFs but can be utilized on stocks as well
  • - Historically holds about 70 positions on average with average holding period of 9.5 days
  • - More than 18 proprietary algorithms identify mean reversion anomalies & trends to determine long or short position.
  • - Directionally agnostic so capital appreciation can be achieved in up, down or sideways markets
  • - Long /short exposure is dynamically managed utilizing multiple risk/reward algorithms across different time frames
  • - Each position is governed by more than 25 unique algorithms to determine entry and exits points
  • - Market regime and total algorithm scores determine which system is traded and aggressiveness
  • - Single long positions limited to 10% max portfolio allocation for ETF version
  • - Volatility component within risk management module dynamically adjust position sizing
  • - Leveraged or non-leveraged version offered.  Leverage allows approximately 2x net exposure


custom developed strategies

We can develop custom tailored strategies utilizing our proprietary risk/reward indicators to target specific asset classes, styles or markets. More specifically we can:

  • - Determine the type of quantitative model best suited for your investment objectives and risk profile
  • - Run it a black box or gray box environment for you
  • - Continually assess and optimize based on new market information
  • - Integrate our quantitative models into your existing strategies
  • - Help you determine risk/reward levels to optimize on
  • - Research and backtest ideas for you

Even if the math behind our algorithms are complex, the overall concepts are simple and straightforward.  Minimize downside losses and only take risks when reward is on your side.