How Pros Stay 80–85% Invested... Without All-or-Nothing Timing

Portfolio Management

How Pros Stay 80–85% Invested… Without All-or-Nothing Timing

by Alex Daley, Founder & Managing Director of WorthNet

Markets can climb even when worry runs high. In this interview, Chuck Carlson, CEO of Horizon Investment Services, shares why he still sees the balance of forces leaning constructive. In his view, corporate profits, interest rates, and inflation remain net supportive – not wildly bullish, but steady enough to keep the long-term trend intact.

One note of caution: under Dow Theory, the Dow Transports haven’t confirmed the Industrials’ strength. That lag keeps Horizon from going “all in,” with Carlson maintaining about 80–85% of portfolios in equities and 15–20% in cash as optionality. It’s a disciplined posture that avoids all-or-nothing timing – and leaves room to buy quality names when volatility strikes.

Carlson also points to recent earnings beats and solid guidance as evidence of continued resilience. If AI-driven spending cools, he expects rotation and stock-specific pullbacks – not a market-wide breakdown.

Stock selection runs through Quadrix^®, Horizon’s proprietary model that scores thousands of companies across 100+ factors to surface opportunities and screen out low-quality names. A current example: Capital One, which, after acquiring Discover, became one of only two banks with its own payments network – an edge Quadrix^® flagged early.

Looking ahead, Carlson anticipates a modestly positive trend into year-end, with interest-rate policy still the swing factor markets are watching most closely.

If you’d like to speak directly with Chuck and his team at Horizon – part of the WorthNet Partner Network – just click the “Connect with an Adviser” button below…

It starts with a quick, one-minute questionnaire to survey your goals.

Charles B. Carlson, CFA

CEO & Portfolio Manager of Horizon Investment Services

Investment Visionary, Seasoned Asset Allocator

Charles B. Carlson is a veteran investment adviser with over 25 years of experience in retirement planning, asset allocation, and portfolio management. He is CEO of Horizon Investment Services (CRD #110642), a proud member of the WorthNet partner adviser network.

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Last Revised: October 17, 2025

The views and opinions expressed by guest speakers or authors are their own, do not necessarily represent the views of WorthNet, and are subject to change without notice. From time to time, WorthNet features partner advisers pursuant to promotional agreements. Partner advisers who enter into such agreements are clients of WorthNet, which creates a material conflict of interest because WorthNet has a financial incentive to promote its partner advisers. The guest is affiliated with a partner adviser of WorthNet. The guest stands to benefit directly or indirectly from this article. This relationship creates a material conflict of interest, as the guest may benefit from referrals or increased visibility through WorthNet. This content is intended solely for general informational and educational purposes; it does not constitute investment advice, a recommendation, or a solicitation to buy or sell any security.

Horizon Disclosures: Horizon Investment Services, LLC is a registered investment adviser with the United States Securities and Exchange Commission in accordance with the Investment Advisers Act of 1940. The firm manages equity, mutual fund, income, balanced, and ETF portfolios for U.S. investors. Registration with the SEC does not imply a certain level of skill or training. Horizon Investment Services claims compliance with the Global Investment Performance Standards (GIPS^®). To receive Horizon’s GIPS-compliant performance information, contact Tom Hathoot at 1-219-852-3215 or write Horizon Investment Services, 7412 Calumet Ave., Hammond, IN 46324, or email [email protected]. The Quadrix^® stock-rating system is a proprietary product used to support investment decision-making, wholly owned by Horizon Publishing Company, Horizon Investment Services’ sister company. Horizon Investment Services has contracted with Horizon Publishing Company to use the Quadrix stock-rating system for its stock-screening processes. From time-to-time, Horizon Publishing Company may change the weightings of the various metrics that go into computing Quadrix scores. GIPS^® is a registered trademark of the CFA Institute. CFA Institute does not endorse or promote this organization, nor does it warrant the accuracy or quality of the content contained herein. CFA^®: Chartered Financial Analyst^®. The Chartered Financial Analyst designation is a professional designation awarded by the CFA Institute. A CFA Program candidate must pass three exams in the following areas: portfolio management, accounting, ethics, money management, and security analysis. CFA charter holders are subject to rigorous ethics rules. CFA^® and Chartered Financial Analyst^® are registered trademarks owned by CFA Institute. As a fiduciary, Horizon is legally and ethically bound to act in the best interests of its clients. An investment in this strategy involves the risk of loss. Investment return and principal value will fluctuate so that the investment, when redeemed, may be worth more or less than the original investment. Past performance is no guarantee of future results. No formula or other device being offered can, in and of itself, be used to determine which securities to buy or sell. Horizon Investment Services’ clients and/or employees may hold positions in the stocks suggested in this presentation.