Legacy Navigator Allocation Update

We recently made an update to the allocation of our Legacy Navigator portfolio, swapping its 10% allocation to 7-10 Year US Treasuries (IEF) for Investment Grade Corporate Bonds (LQD). With US interest rates approaching zero and the Fed explicitly supporting the investment grade corporate bond market as a result of the coronavirus shock, we feel the risk/reward trade off of fixed income has tilted decisively in favor or exposures like LQD.

As always, we will continue to monitor market developments and use signals from the VIX marketplace to guide our portfolio exposures. Please contact us with any questions.

Legacy Navigator allocation pre- and post-3/24/20 update. Subject to change without notice.

Thompson Capital Management is a registered investment adviser. Information presented is for educational purposes only. It should not be considered specific investment advice, does not take into consideration your specific situation, and does not intend to make an offer or solicitation for the sale or purchase of any securities or investment strategies. Investments involve risk and are not guaranteed. Be sure to consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS.