Tactical allocation ETFs are a type of exchange-traded fund (ETF) that use a dynamic, active investment strategy to allocate assets among different asset classes or sectors. The goal of tactical allocation ETFs is to take advantage of market opportunities and changes by adjusting their portfolio holdings in response to market conditions.

Tactical allocation ETFs typically use a combination of quantitative analysis, technical indicators, and market research to make investment decisions. They may invest in various asset classes, such as stocks, bonds, commodities, and currencies.

The fund managers of tactical allocation ETFs make adjustments to the fund's portfolio holdings in response to market conditions, including changes in economic conditions, interest rates, and political events. They have the flexibility to invest in a broad range of securities and sectors, so they can make adjustments as market conditions change.

Tactical Allocation

NYSEArca

LEXI

RHRX

Relative Sentiment Tactical Allocation ETF is an actively managed tactical allocation ETF that uses relative sentiment and macro indicators to allocate among U.S. equities, developed-market equities, gold and short-term U.S. Treasury exposure.

Nasdaq

MOOD

The ETF seeks long-term capital appreciation by tactically rotating across international markets through a portfolio primarily composed of non-U.S. country ETFs, using an active management approach based on forward-looking analysis.

Symbol	Name	Sharpe Ratio (1Y)	Sharpe Ratio (5Y)	Sharpe Ratio (10Y)	Risk / Return Rank
LEXI	Alexis Practical Tactical ETF	2.49	—	—	85
RHRX	RH Tactical Rotation ETF	2.47	—	—	87
MOOD	Relative Sentiment Tactical Allocation ETF	2.22	—	—	74
CORO	iShares International Country Rotation Active ETF	2.08	—	—	73
TDSB	Cabana Target Drawdown 7 ETF	2.06	0.25	—	70

Top Tactical Allocation ETFs by Sharpe Ratio

Top Tactical Allocation ETFs by Sharpe Ratio