Dightman Captial Group
We manage adaptive investment strategies for individual investors, as part of a comprehensive planning environment, designed to protect capital in sustained market contractions and grow capital during market expansions.

Market & Economic Summary

  

Dightman Capital believes one of the key to success in today's environment is to remove entrenched investment biases and implement an adaptive investment process and execution ability. 

The following is our opinion of near-term market and economic conditions.

SPRING 2012

GLOBAL INVESTMENTS
After a very strong rally in Q1, which was a continuation from Q4 2011, stocks have come under selling pressure.  A normal market correction should be expected but investors may want to be on guard for a more sustained market decline given the fragile nature of the current environment. 

WORLD ECONOMY
The Data coming out on the global economy still poses serious challenges.   The debt crisis in Europe could eventually pose liquidity challenges.  Unemployment in the U.S. remains elevated but appears to be improving somewhat.

INFLATION DATA
We believe broad inflation will remain stable for goods and services measured by the Consumer Price Index.  There are risks of elevated prices in select categories like education, healthcare and energy.  Despite current U.S. monetary policy, inflation is likely to be held in check until National Income and Capacity Utilization have increased.  As developed country economies continue to reduce debt levels, deflation in stocks, real estate and commodities may continue.

U.S. RESIDENTIAL HOUSING
It appears housing may be stabilizing in some markets but price recovery may be slow. 

PLANNING
New conversion rules for ROTH IRAs allow high income households an opportunity to fund this unique tax treatment retirement account.

Dightman Capital Group Performance

September 30, 2011
Separately Managed Accounts
Performance Results
Net of Fees

Additional performance detail can be requested here. 

DCG Managed Strategies 2011 - YTD 2010 2009 2008 Since Inception
DCG Global Aggressive Growth -3.66 7.22 22.21 -6.93 17.49
  Global Aggressive Growth Benchmark -3.42 11.98 28.74 -29.00 -1.14
DCG Global Moderate Growth -3.25 6.46 17.46 -6.65 12.94
  Global Moderate Growth Benchmark -1.15 11.28 24.51 -23.49  4.79
Benchmark Indices
FTSE World Index Total Return -6.48 12.73 34.38 -35.90 -9.20
Barclays Aggregate Bond Index 8.35 7.00 6.37 3.77 27.96

Composite Performance Presentation 2011 [PDF]

Performance reflects the period February 1, 2008 - December 31, 2011. 

Compliance Statement - Dightman Capital Group Inc. (DCG) claims compliance with the Global Investment Performance Standards (GIPS®). DCG has been independently verified for the periods February 1, 2008 - December 31, 2010. The verification report is available upon request. Verification assesses whether (1) the firm has complied with all the composite construction requirements of the GIPS standards on a firm-wide basis and (2) the firm’s policies and procedures are designed to calculate and present performance in compliance with GIPS Standards. Verification does not ensure the accuracy of any specific composite presentation.

Composite Definition - The Global Growth Strategy Composites include all discretionary, fee-paying accounts in the Global Growth Strategies. Designed to grow capital during market expansions and protect capital in sustained market contractions, the objective of the Global Growth Strategies are to balance long-term capital appreciation with short-term downside capital preservation. The strategies incorporate an adaptive risk-based investment approach which adjusts investment weights and composition to forecasted economic and market environments using global equity, fixed income, money markets, and non-traditional assets/strategies. ETFs, mutual funds, closed-end funds and individual securities may be used in the strategy. Factors considered in the investment approach include economic growth measurements, yield measurements, equity valuations, relative strength, sentiment characteristics, negative divergences and other technical, fundamental, and behavioral data. The minimum account size for composite inclusion is $50,000. The DCG Global Growth strategies were implemented in January 2008 and the composite was created in September 2009.

Benchmark Description
The benchmark for the Global Aggressive Growth composite is 80% FTSE World Index Total Return and 20% Barclays U.S. Aggregate Bond Indices. The blended benchmark is calculated and rebalanced on a daily basis. The FTSE World Index is the aggregate of 2,360 stocks from 32 developed and advanced emerging countries. The Barclays U.S. Aggregate Bond Index is a broad-based index that measures the investment grade, fixed-rate taxable bond market, including Treasuries, government related and corporate securities.

The benchmark for the Global Moderate Growth composite is 65% FTSE World Index Total Return and 35% Barclays U.S. Aggregate Bond Indices. The blended benchmark is calculated and rebalanced on a daily basis. The FTSE World Index is the aggregate of 2,360 stocks from 32 developed and advanced emerging countries. The Barclays U.S. Aggregate Bond Index is a broad-based index that measures the investment grade, fixed-rate taxable bond market, including Treasuries, government related and corporate securities.

The benchmark for the Global Conservative Growth composite is 50% FTSE World Index Total Return and 50% Barclays U.S. Aggregate Bond Indices. The blended benchmark is calculated and rebalanced on a daily basis. The FTSE World Index is the aggregate of 2,360 stocks from 32 developed and advanced emerging countries. The Barclays U.S. Aggregate Bond Index is a broad-based index that measures the investment grade, fixed-rate taxable bond market, including Treasuries, government related and corporate securities.

Valuation Information - Valuations are computed and performance reported in U.S. dollars. Internal dispersion is calculated based on weighted standard deviation of annual gross returns for those portfolios that were included in the composite for the entire year. Composite cash flows of 10% or greater are considered a large cash flow, accumulate daily and revalued at each flow date. The cash asset class is excluded from significant cash flow criteria. The firm has not presented a three-year annualize ex-post standard deviation of the composite and benchmark because 36 monthly returns are not available. Account valuations are net of applicable withholding taxes. A complete list of the firms composite descriptions, policies for valuing portfolios, performance calculations, and preparing compliant presentations are availabe upon request by contacting client service by email at info@dightmancapital.com, phone 877-874-1133 or mail at 7300 West 110th, Suite 700, Overland Park, KS 66210.

Additional Items - The Global Growth strategies do not use derivatives or margin at the account level but accounts in the strategy may hold investments that incorporate derivatives or margin. The strategies use of investments that incorporate derivatives or margin is monitored and limited. Accounts in the strategy may also hold inverse (short) investments on a limited basis for the purpose of providing a hedge, and in some cases, potential gains.

Other Disclosure - Past performance does not guarantee future results. Investments and the income derived from them fluctuate both up and down. Investments at Dightman Capital are subject to risks including loss of principal. This presentation is for informational purposes only and is neither an offer to sell or buy any securities. Benchmarks or other measures of relative market performance over a specified time period are provided for informational purposes only. Dightman Capital does not manage any strategy toward a specific benchmark index. A variety of sources we consider reliable have provided information for this presentation but we do not represent that the information is accurate or complete. Dightman Capital Group does not provide tax advice to its clients. Investors are encouraged to discuss any potential investment with their tax advisors. The material provided herein is for informational purposes only. Data Sources: IDC, Dightman Capital.