Simpli-FI Alpha

A Modern Portfolio

An All-Weather Approach to Portfolio Growth

Traditional investing is a one-dimensional "buy and hope" strategy. We believe this is incomplete. We've built a two-dimensional approach designed to deliver consistent, all-weather returns, protect capital, and enhance compounding over the long term.

The Problem with "Buy and Hold"

For long-term investors, "buy and hold" investing creates two critical problems:

1. No Returns in Flat Markets

If the market moves sideways for a year, a traditional portfolio generates zero returns. For organizations and individuals who depend on portfolio growth, this is a failed outcome. You are completely dependent on market appreciation.

2. Full Drawdowns in Down Markets

In a down market, your only strategy is to hold on and hope. This can lead to severe drawdowns, delaying your long-term goals. "Buy and hold" offers no mechanism for defense or active risk management during a downturn.

Our Solution: Two Dimensions of Return

We solve this problem by separating "market return" from "strategy return." We build a robust, diversified portfolio and then add an active options strategy—designed to generate an independent return stream from option premiums.

Your portfolio now has two engines working for you:

How the "Wheel" Strategy Works

Our active options strategy follows a disciplined, repeatable process often called "the wheel." It's a systematic way to enhance returns and build positions at a discount.

1

Sell a Put

We sell a put option on a high-quality ETF we want to own. We are paid an immediate cash premium for this. This premium is our first source of strategy return.

2

Acquire or Repeat

If the ETF's price stays above our strike, the option expires worthless. We keep 100% of the premium and repeat Step 1. If it drops, we are "assigned" and buy the ETF at our pre-defined discount price.

3

Sell a Call

Now that we own the ETF, we begin selling covered calls against it. This generates a *second* source of strategy return. We continue this until the shares are "called away," often at a profit.

The Liquid Foundation: Our 8-ETF Portfolio

This strategy requires a foundation of high-quality, highly-liquid assets. Our portfolio is built to provide broad diversification across markets, sectors, and asset classes.

SPY

US Large-Cap

The core anchor of US market exposure. The world's most liquid options market.

QQQ

US Tech & Growth

Provides exposure to top-tier US growth and technology companies.

IWM

US Small-Cap

Diversifies away from large-cap risk with exposure to 2,000 smaller companies.

EFA

Developed Int'l

Geographic diversification in stable, developed markets like Europe and Japan.

EEM

Emerging Markets

Access to high-growth emerging economies. High volatility provides rich premiums.

XLE

Energy Sector

A cyclical sector and inflation hedge with a liquid options market.

TLT

Fixed Income

A key non-correlated asset to hedge against equity risk and market stress.

IBIT

Digital Asset

A "digital gold" position for asymmetric growth, with extreme volatility for high premiums.

A Strategy for Long-Term Partners

This strategy is designed for long-term, tax-advantaged accounts where compounding growth and capital preservation are the primary goals.

Pensions & Non-Profits

Meet long-term obligations with a strategy designed for smoother, non-correlated returns. Our focus on capital preservation aims to protect the fund's principal during down markets, reducing the need to sell assets at the wrong time.

Individuals

Ideal for tax-advantaged accounts (e.g., IRAs). This strategy aims to compound wealth more smoothly, seeking to capture upside in bull markets while actively managing drawdowns during bear markets, all within a tax-deferred environment.

Custodial Accounts

Build a lasting legacy for the next generation. This strategy's long-term, compounding focus and capital preservation rules are ideal for a multi-decade time horizon, helping to grow education or inheritance funds.

Contact Us to Learn More