SENTINEL PLAN · 0–1 YEAR HORIZON
Preserve capital. Keep liquidity close.
Sentinel is Wellion’s most defensive horizon profile. It is designed for capital that may be needed within the next twelve months, where liquidity and nominal stability matter more than maximising return.
Core building blocks: cash, Treasury Bills, and short-term money market funds.
WHAT SENTINEL IS BUILT FOR
Immediate liquidity needs
Capital preservation first
Small optional step-out only
Short-duration bond ETFs are watchlist tools, not default core holdings.
AT A GLANCE
The least risky Wellion profile for short-term capital.
Sentinel is built for capital that should remain accessible, stable, and productive while waiting.
Primary objective
Protect nominal capital and keep cash accessible.
Core instruments
Cash, direct Treasury Bills, government-style MMFs, and diversified liquidity MMFs.
Review rhythm
Daily for liquidity, weekly for short-end signals, monthly for rebalancing, and after major central-bank decisions.
What is not core
Ultra-short bond funds are capped reserve tools. Short-duration bond ETFs are usually outside the core Sentinel sleeve.
PORTFOLIO ROLE
A defensive sleeve for cash waiting to be redeployed.
This horizon helps keep capital productive while waiting, supports portfolio stability, and preserves flexibility for future opportunities.
Cash management
Defensive income
Liquidity reserve
Capital preservation
USED FOR
Waiting capital
Near-term liquidity
Lower-volatility allocation
Future redeployment
Designed to keep optionality without leaving cash idle.
Suggested allocation
An illustrative structure for investors prioritizing liquidity and capital stability.
60%
25%
10%
5%
Treasury Bills / short-term government
bonds
Ultra-short bond
ETFs
Cash
reserve
High-quality short-term
credit
Why these assets?
Liquidity
Short maturities help keep capital available and reduce the risk of being locked into long-term positions.
Stability
High-quality short-term debt instruments generally aim to reduce volatility compared with equities or longer-duration bonds.
Income
Treasury Bills and short-term bonds can help cash earn yield while investors wait for better opportunities.
How the return is generated
Cash today
Short-term government bill
Capital returned + yield
Simple example
If an investor places $10,000 into a 3-month Treasury Bill at a 3.6% annualized yield, the approximate
3-month gain would be $90.
SENTINEL • 0–1 YEAR
USE THIS HORIZON WHEN
Short-term yields are attractive
Markets feel expensive or uncertain
You want to wait before entering equities
Capital may be needed within the next year
Stability matters more than growth
This horizon is generally most useful when liquidity,
stability, and flexibility matter more than pursuing
higher-risk growth.
When this horizon
may be useful
BEST FIT
Liquidity first
Lower volatility
Near-term flexibility
Designed for capital that may be needed soon.
PORTFOLIO ROLE
A balanced sleeve for medium-term capital and controlled growth
This horizon is designed for capital that does not need to remain fully in cash, but should still stay relatively stable. It helps combine income, diversification, and moderate growth potential while keeping risk more controlled than a pure equity allocation.
Balanced allocation
Income + stability
Diversified core
Medium-term horizon
USED FOR
Medium-term capital
Balanced income
Controlled diversification
Progressive growth
Designed to keep optionality without leaving cash idle.
Risks to understand
Low risk does not mean no risk. These are the main points investors should understand before using this horizon.
Interest-rate risk
Bond values can move when interest rates change, especially if sold before maturity.
Reinvestment risk
When short-term instruments mature, future yields may be lower.
Inflation risk
Inflation can reduce the real value of returns.
Credit risk
Government bonds are generally safer than corporate debt, but credit quality still matters when using short-term credit.
Understanding risk helps investors choose the right role for each horizon.