Dynamic Moderately Aggressive Strategy Q2 2025: Global Allocation, Risk Metrics, and Portfolio Growth
Dynamic Moderately Aggressive Strategy Overview (Q2 2025)
By the Wealth Advisors at Paramount Associates Wealth Management
This Q2 2025 overview outlines the Dynamic Moderately Aggressive Strategy as managed by Paramount Associates Wealth Management of Greenwood Village, Colorado. The strategy is designed for investors seeking a globally diversified, moderately aggressive asset allocation that balances growth potential with disciplined risk management. Portfolio construction reflects Paramount’s economic model, global rankings, and momentum analysis while maintaining flexibility across asset classes, market capitalizations, and geographic regions.
As a registered investment advisor serving Greenwood Village and the broader South Metro Denver area, Paramount Associates Wealth Management applies a team-based approach to wealth management, portfolio management, and long-term financial planning.
Strategy Objective and Investment Methodology
The Dynamic Moderately Aggressive Strategy seeks to provide global equity and bond exposure in accordance with Paramount Associates’ Investment Policy Statement guidelines. The strategy allows for dynamic allocation among equities, fixed income, cash, and alternative investments, as well as flexibility between growth and value styles and across domestic and international markets.
Investments within the strategy may include individual stocks, exchange-traded funds, open-end mutual funds, and interval or private investment strategies. As with all investment strategies, assets may fluctuate in value, and the strategy may underperform its benchmark during certain market environments.
Market Environment and Q2 2025 Commentary
During the second quarter of 2025, global markets reacted sharply to the introduction of new tariffs, which initially surprised investors and created short-term volatility. After markets absorbed the evolving trade dynamics, prices rebounded quickly. International markets outperformed U.S. equities during this period, a trend supported by a weakening U.S. dollar.
Performance strength was not limited to public equities. Private investments, particularly infrastructure-focused allocations, contributed positively to overall portfolio results. As the quarter progressed, market attention shifted toward corporate earnings trends and Federal Reserve policy updates as primary drivers of future market direction.
Asset Allocation and Portfolio Structure
As of June 30, 2025, the Dynamic Moderately Aggressive Strategy maintained a diversified asset allocation designed to support long-term growth while managing volatility. U.S. equities represented approximately 32% of the portfolio, while non-U.S. equities accounted for roughly 21%. Fixed income exposure was near 12%, cash holdings around 7%, and alternative investments comprised approximately 27% of total assets.
This allocation reflects a moderately aggressive posture intended to participate meaningfully in global equity markets while maintaining diversification across asset classes—an important consideration for wealth management clients in Greenwood Village and surrounding Colorado communities.
Sector Allocation and Equity Exposure
Sector exposure within the strategy was broadly diversified, with technology representing the largest allocation at approximately 28%, reflecting its continued role in global economic growth and innovation. Financial services, industrials, healthcare, and consumer-related sectors also represented meaningful portions of the portfolio. Additional exposure to utilities, communication services, and basic materials helped balance cyclical and defensive characteristics.
This sector diversification is designed to reduce concentration risk while supporting participation across multiple areas of the global economy.
Regional Diversification and Global Reach
From a geographic standpoint, the strategy maintained significant exposure to the United States, which accounted for just over 60% of portfolio assets. International exposure included developed and emerging markets across Europe, the United Kingdom, Latin America, Asia, and select emerging regions. This global diversification supports portfolio resilience by reducing reliance on any single economy or region.
For clients of Paramount Associates Wealth Management in Greenwood Village, Centennial, Castle Pines, and the broader South Metro Denver area, global diversification remains a core component of long-term investment strategy.
Performance and Risk Metrics
Since inception, the Dynamic Moderately Aggressive Strategy has delivered competitive performance relative to its custom blended benchmark, which consists of 70% MSCI World All Cap Index and 30% Bloomberg Global Aggregate Bond Index. Performance results are reported both gross and net of fees and reflect a focus on long-term consistency rather than short-term market timing.
Risk metrics—including a Sharpe Ratio of 1.06, Sortino Ratio of 1.88, beta of 0.68, and maximum drawdown of approximately -5.05%—highlight the strategy’s emphasis on risk-adjusted returns. Up-market and down-market capture ratios further demonstrate the portfolio’s ability to participate in rising markets while moderating downside exposure during periods of volatility.
Long-Term Portfolio Perspective from Greenwood Village Wealth Advisors
For investors working with Paramount Associates Wealth Management of Greenwood Village, the Dynamic Moderately Aggressive Strategy represents a disciplined approach to global investing that balances growth objectives with risk management principles. Rather than reacting to short-term market events, the strategy emphasizes diversification, adaptability, and alignment with long-term financial planning goals.
As a Greenwood Village-based investment advisory firm serving South Metro Denver and surrounding Colorado communities, Paramount Associates Wealth Management remains focused on helping clients navigate complex markets with clarity, structure, and an evidence-based investment process.
