Managers rank more than 1,300 funds and will "go anywhere there's a well-run ETF," he said. The fund is "married" to U.S. stocks and is overweight in mid-cap ETFs, Frank said. He sees upside in consumer staples and telecom, as well.
Read MoreWeighing the advantage of an all-ETF portfolio
Frank holds a bearish stance on utilities and real estate investment trusts, which both enjoyed a strong 2014.
"We did well on the REITs last year, and we did well on the utilities in the beginning of the year. It's just seemed that people searching for that yield has kind of gone sour," he said.
He noted that if interest rates increase this year, the fund will move toward commodities. Frank added that Federal Reserve Chair Janet Yellen "the opposite of a loose cannon" and would give investors plenty of notice before the Fed hikes interest rates.
Read MoreYellen: No rate hike for next couple FOMC meetings
U.S. stocks traded higher on Tuesday after Yellen took a dovish stance in the first day of her semi-annual congressional testimony.