Investment Management Process

If proper asset allocation is the key, sound research and due diligence are the pathway that enables us to manage risks and deliver results.

We typically begin on a global macroeconomic level, by considering all asset classes. Our goal is to uncover the themes we believe will offer you the best outcome. Then we search within those themes for optimal investment vehicles for your specific portfolio.

Considering each asset class

Individual Equities: Using our own valuation models, we focus on companies that we believe to be high quality, employ solid management teams, have strong economic moats and show a history of favorable cash flow.
Equity Exchange-Traded Funds (ETFs) & Equity Mutual Funds: We use these to gain broad-based exposure to sectors with investment opportunities we feel will be profitable, allowing the relationship manager to deliver risk-adjusted returns consistent with each clients’ goals.
Bonds: Individual bonds, fixed-income ETFs and fixed-income mutual funds are an excellent means to manage risk. Based on our ongoing research we formulate an outlook for interest rates and the credit cycle, then adjust our holdings accordingly.
Real Assets: Precious metals, commodities, REITs and other real assets enable diversification not directly linked to the financial markets.
Alternatives: Private investments and other alternatives can offer diversification with low correlations to the financial markets, but, due to potential liquidity constraints, they only may be suitable for investors with specific qualifications and risk tolerances.
Cash: A cash allocation has a place in all portfolios, providing capital preservation, security and flexibility.

Dominant Benefit Theory

Some firms categorize their investments by stocks and bonds, cash and alternate investments. In our increasingly diverse investment universe, we find it more useful to focus on each asset’s dominant benefit—then construct your portfolio with a view to your relative risk profile.

  • Safety: High stability, minimum investment risk, relatively low reward
  • Income: Steady current income, with limited potential for appreciation/depreciation
  • Equity income: Relatively high current income, strong growth potential, principal at risk
  • Growth: Strong growth potential, relatively low income, principal at risk
  • Aggressive growth: Significant growth potential, no income, principal at significant risk