Portfolio Allocation

Gray Digital's asset allocation strategy is designed to be dynamic, adapting to market conditions and expert discretion to ensure optimal performance. The portfolio is carefully managed, focusing on minimizing risk while maximizing returns. The current breakdown is as follows:

Credit & Debt

• Corporate Bonds (25%): Focuses on providing steady interest earnings with principal repayment at maturity. The strategy diversifies across sectors to reduce risk and respond to market shifts.

• Government Bonds (5%): Secure, interest-earning loans are allocated with a goal of balancing yield and risk.

• High-Yield Bonds (30%): High-risk, high-return bonds, with a focus on rigorous issuer evaluation to mitigate default risks.

Leveraged Puts/Calls

• Tech Sector (10%): Leveraged capital targets tech companies, backed by thorough research and strategic options.

• Healthcare Sector (3%): Investments in healthcare and biotech firms, with managed leverage to control volatility.

• Other Sectors (2%): Broader market exposure across non-tech industries, applying selective options strategies to balance risk and reward.

Derivatives

• Options (15%): Contracts used to hedge risks or capitalize on market volatility, always adjusting based on current market conditions.

• Futures (7%): Engaging in future asset transactions, this strategy helps manage price fluctuations.

• Swaps (3%): Aiming at risk diversification, swaps are utilized to guard against changes in interest rates or currency shifts.

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This portfolio allocation is continually reviewed and adjusted by the portfolio managers, ensuring that it remains aligned with evolving market conditions and the fund's overall goals. These percentages are subject to change at any time, based on the expert discretion of Gray Digital's management team.

Stay informed as this strategy evolves. For more detailed and up-to-date information, visit the Gray Digital asset allocation page.

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