STRATEGY
The Importance of Downside Protection
While market growth often takes the spotlight, protecting your wealth from significant losses is just as important. At Murray Street Capital Advisors, downside protection is a cornerstone of our strategy, designed to help portfolios remain adaptable across different market environments.
Large losses require even larger gains to recover:
A 50% loss needs a 100% gain to break even.
A 20% loss needs a 25% gain to recover.
Minimizing drawdowns ensures your portfolio stays on track, reducing recovery time and preserving long-term growth potential.
The Math of Losses and Recovery
Our Approach to Downside Protection
Tactical Adjustments with Proactive Risk Management
We reduce equity exposure during downturns and increase defensive positions when markets grow uncertain — all driven by real-time monitoring to stay ahead of potential risks.
Who Benefits from Downside Protection?
Our downside protection strategies are designed to support a range of clients:
Risk-Averse Investors: Prioritize stability in their portfolio.
Growth-Oriented Investors: Maintain confidence during volatile markets.
Retirees and Near-Retirees: Protect wealth with limited recovery time.
Downside protection isn’t just about avoiding losses—it’s about building resilience into your financial plan. At Murray Street Capital Advisors, we help safeguard your portfolio so you can confidently pursue your goals, no matter the market.