As is generally the case, bonds have been warning the bullish bias of equity investors was likely misplaced. I have updated last week's chart for reference.

The increase in risks has had us rotating exposure in our portfolios to a more defensive tilt. We previously trimmed back our overweight exposure to Technology, Then, two weeks ago, we noted we further tweaked client portfolios by reducing exposure to "trade sensitive" areas by selling half of our holdings in Industrials, Materials, and Discretionary areas. 

Last week, we continued to process of the defensive rotation, reducing risk, and rebalancing allocations. (We publish our model changes in real-time for our RIA PRO subscribers. (Try NOW and get 30-days FREE)