Asset Allocation 

Strategic Allocation – this is the long-term target for how your assets are divided between stocks, bonds, and cash.

Tactical Allocation – as market conditions change, so do we. When we think the markets pose excessive risks, we may make a tactical adjustment to your allocation to reduce market exposure and increase cash. We may also hold a limited amount of bonds in equity portfolios or stocks within fixed income portfolios, in an effort to reduce risk or enhance returns.

Risk Management

Managing risk is integral to long-term wealth creation and preservation. We work closely with you to understand your goals and discuss what it will take to achieve them.  Our goal is to design an investment portfolio closely aligned with your long-term investment objectives and reflective of your risk tolerance. Our objective is to avoid taking more risk than we believe is necessary to attain your long-term goals. This means that our approach for clients with sufficient  lifetime wealth will differ from strategies for those who need their nest egg to grow for the future.  It also means that we have the flexibility to transition your portfolio to a different strategy as your needs change over time.

Our analysis methods include asset allocation analysis and portfolio modeling, in addition to individual security research. We select asset classes from the top down, then pick stocks from the bottom up. This means that our view of the economy and individual economic sectors shapes our strategic asset allocation decision, while in-depth analysis of the investment candidates within these favored sectors guides our stock selection process.

We incorporate both qualitative and quantitative securities analysis with respect to individual stock and mutual fund selection. (Quantitative analysis focuses on mathematical and statistical research such as the debt-to-equity and price-to-equity ratios. Qualitative analysis uses subjective judgment to evaluate information such as management expertise, industry cycles, labor relations, and other factors not generally identified through quantitative analysis.)

Our goal with respect to fixed income asset selection is to create a portfolio that seeks to optimize income, enhance the appreciation potential of the portfolio, and manage downside risk. We identify those asset classes exhibiting strategic value to develop the core portfolio. These core holdings are complimented with additional securities to provide diversification and/or alternative income.

Our team incorporates both independent and sell-side research and opinions with our own internal qualitative and quantitative analysis. Resources include independent economic, market, sector, and individual securities analysis, and subscription services that provide a wide range of sell-side analysis of market sectors and individual securities.