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Portfolio > Portfolio Construction

Curian Capital Introduces Risk-, Inflation-Focused Portfolios

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Curian Capital, a Denver-based asset management firm, has added two products to its stable of custom portfolios: the Curian Dynamic Risk Advantage Strategy and the Curian Enhanced Real Return Strategy.

The Dynamic Risk Advantage Strategy is designed to systematically reduce risk exposure in a client’s portfolio when higher-risk assets are in decline and increase risk exposure when those assets are moving up. In this tactical asset allocation strategy, the Curian asset manager uses growth-oriented investments with complementary correlations and lower-risk investments that are expected to be stable through all market cycles. Mellon Capital Management acts as a nondiscretionary subadvisor to the strategy.

The Enhanced Real Return Strategy is intended as a way to help investors protect assets against the effects of inflation. It invests in a portfolio of actively managed inflation-linked bonds and commodity-based securities. Armored Wolf serves as subadvisor to the strategy. Armored Wolf’s founder John Brynjofsson previously managed PIMCO’s inflation-linked bond and commodities funds.

Curian said in a statement that it introduced this strategy “in anticipation of elevated inflation concerns that typically accompany a global economic recovery as well as the unprecedented level of monetary stimulus following the financial crisis.”

Curian Capital, which had $3.6 billion in assets under management as of December 31, 2009, is a subsidiary of Jackson National Life Insurance Co in Lansing, Mich.

Michael S. Fischer ([email protected]) is a New York-based financial writer and editor and a frequent contributor to Wealth Manager.


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