--- title: White Paper Portfolio Optimization Download description: Modern Portfolio Theory is limited. Hedged equity may complement and strengthen portfolios by helping to reduce losses and the pain investors feel from it. --- [![Swan Global Investments - Defined Risk Strategy - Hedged Equity](https://content.swanglobalinvestments.com/hs-fs/hubfs/Logo_Grey_595959_Horizontal.png?width=800&height=200&name=Logo_Grey_595959_Horizontal.png "Swan Global Investments - Defined Risk Strategy - Hedged Equity")](https://content.swanglobalinvestments.com/swanglobalinvestments.com) ### white paper # Portfolio Optimization ## Thinking outside the style box **Is Modern Portfolio Theory really minimizing losses for investors?**   The traditional asset allocation approach is more focused on minimizing volatility than losses.  Modern Portfolio Theory and Mean Variance Optimization assume  asset classes will continue to exhibit past patterns of return, correlation, and variance. Will this be the case going forward?  This white paper breaks down the limitations of these two methodologies and offers an alternative approach that seeks to minimize the amount of money your clients lose during times of major market stress.      ![Micah Wakefield](https://content.swanglobalinvestments.com/hs-fs/hubfs/Swan%20Design/Headshots/image-4-1.jpg?width=150&height=171&name=image-4-1.jpg) ### Micah Wakefield, CAIA ##### Portfolio Manager, Director of Research & Product Development Micah Wakefield, CAIA® is the portfolio manager of the Swan Defined Risk Diversified Fund, LP, directs Swan Overlay programs, helps oversee underlying investments for DRS, daily risk assessment and position review. He also leads research and development of strategies and products at Swan leveraging an extensive track record in portfolio management, trading, analysis, and business management. Micah frequently contributes to the authorship of our thought leadership material. **Fill out the form to download the white paper.** # About Us A leader in hedged equity and options strategies, Swan Global Investments is an SEC-registered investment advisor providing asset management services. Since 1997, Swan Global Investments has managed the Defined Risk Strategy, a distinct hedged equity approach, helping investors to grow wealth while protecting capital. Please note that registration of the Advisor does not imply a certain level of skill or training. Swan Global Investments, LLC is affiliated with Swan Capital Management, LLC, Swan Global Management, LLC and Swan Wealth Management, LLC. [Disclosure notice and privacy policy.](http://swanglobalinvestments.com/disclosures) #### Links - [Home](http://swanglobalinvestments.com/home/) - [About Swan](http://swanglobalinvestments.com/about-swan/) - [The Defined Risk Strategy](http://swanglobalinvestments.com/defined-risk-strategy/) - [Insights](http://swanglobalinvestments.com/insights/) #### Contact Us [sales@swanglobalinvestments.com](mailto:sales@swanglobalinvestments.com) 1099 Main Ave, Suite 206 Durango, CO 81301 Copyright 2021 | Swan Global Investments