Upgrading Strategy Overview

Upgrading is the investment approach we developed years ago and have been applying in our client accounts for decades. It follows market leadership by keeping assets in the best-performing noload mutual funds as determined by our performance-based ranking system.

Upgrading evolved from the observation that few, if any, top mutual fund managers have been able to sustain superior performance for long periods of time. That's because each manager uses an investment style that worked well in some, but not all, market environments. Most are unwilling or unable to change their styles to match the changing economy.

Historically, many winning money managers have experienced a cycle of emergence, followed by excellence, then eventual decline. Because we cannot predict which will do well next, we turn to near-term performance to identify the ones that have been getting it right.