Our research-intensive investment process focuses on adding value over the long run. We do this by not only tapping the intellectual resources of our firm, but in an effort to remain as unbiased as possible, we also utilize the best and brightest investment minds the world has to offer. Our investment management process is defined below:
Asset Allocation
Our investment portfolios take into account both short-term downside risk and potential long-term returns and are implemented using the following steps:
- For each client, we identify an appropriate target mix of investments based on their return objectives, risk preference, time horizon, cash flow requirements and any other relevant circumstances.
- We make periodic "tactical" adjustments to the asset mix when we are highly confident that by overweighting certain investments we can improve return potential and/or reduce portfolio risk.
- We analyze a range of economic scenarios to assess the potential impact of any tactical decision on overall portfolio risk.
Manager Selection
Our asset allocation targets are met using investment managers that we are highly confident will have potential to exceed a comparable index over the long term. Our manager selection process involves extremely thorough due diligence on the management team, investment process, company culture, and performance results.
Portfolio Rebalancing
Portfolio rebalancing helps keep client investments in line with their investment strategy. The idea behind rebalancing is to reduce risks created by the build-up of an inconsistent sum of money in any given market sector. Portfolio rebalancing is not an attempt to time the market, but rather a timely reassessment and modification of investment target goals.
Discipline and Conviction
We set the bar high in assessing investment opportunities, and we have the discipline and conviction to act on an opportunity we find compelling. We believe that investors who lack the courage to act on their convictions are destined for mediocrity.
