Our Approach is Largely Evidence-Based
As someone who has worked hard to build their wealth and their business, you’re seeking the opportunity to preserve your finances through a thorough investment strategy. In order to guide you through this successfully, we’ll cover a few details to ensure we minimize risk every step of the way.
Before considering any investment strategy, we ask:
DOES THIS OPTION MAKE ECONOMIC SENSE?
IS THE OPTION BEING CONSIDERED TIME-TESTED AND PROVEN?
If both are the case, we will take a deeper dive to determine if this strategy is right for you.
Key Investment Principles
To improve your odds of success
01
Define Portfolio Objective
Each portfolio is defined by a set of investment objectives that we consider. This guides an asset selection and ongoing observation process based on risk tolerance, time horizon, taxes and other key factors.
02
Implement Investment Strategy
Disciplined investing means sticking to a long-term strategy despite short-term fluctuations. To improve your chances of success, your strategies must be custom-fit to A) your specific financial situation, and B) your lifestyle goals. Our approach leverages deep market analysis, data and diversification to adapt to economic changes and keep a steady aim on your goals.
03
Resist Chasing Past Performance
Some investors select mutual funds based on their past returns. Yet, past performance offers little insight into a fund’s future returns. For example, most funds in the top quartile of previous five-year returns did not maintain a top-quartile ranking in the following five years.1
1) Source: Mutual Fund Landscape 2021 – Dimensional
04
Let Markets Work for You
The market’s pricing power works against mutual fund managers who try to outperform through stock picking or market timing. As evidence, only 19% of US-based equity mutual funds and 11% of fixed income funds have survived and outperformed their benchmarks over the past 20 years.2 We’ll construct a diversified portfolio of various asset classes that fits your tax profile, risk and more, implementing the details as needed.
*Investing in mutual funds involves risk, including possible loss of principal. Fund value will fluctuate with market conditions and it may not achieve its investment objective.
2) Source: Pursuing a Better Investment Experience – Dimensional
05
Planning for Taxes
Whether you’re a business owner or an individual tackling unique financial challenges, it’s important to be aware of tax planning strategies to help you succeed. Alongside your trusted tax professionals, we will develop proactive solutions for you to assess.
In addition to helping you keep your hard earned money, tax planning strategies can help you avoid penalties, get the most from your deductions, organize your financial documents, and plan successfully for the future.
06
Practice Smart Diversification
Holding securities across many market segments can help manage overall risk. But diversifying within your home market may not be enough. Global diversification can broaden your investment universe.
07
Avoid Market Timing
You never know which market segments will outperform from year to year. By holding a globally diversified portfolio, investors are well-positioned to seek returns wherever they occur.
There is no guarantee that a diversified portfolio will enhance the overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk.
08
Manage Your Emotions
Many people struggle to separate their emotions from investing. Markets go up and down. Reacting to current market conditions may lead to making poor investment decisions.
09
Noise Info Wisdom
Daily market news and commentary can challenge your investment discipline. Some messages stir anxiety about the future, while others tempt you to chase the latest investment fad. When headlines unsettle you, consider the source and maintain a long-term perspective
10
Ongoing Review
Although our investment philosophy stays consistent, change is the only constant in your life. Tax laws markets are constantly evolving we want you to succeed. We will regularly evaluate the current portfolio so it continuously suits your goals and reflects the current tax situation. We will review all the new financial decisions and make sure you stay on track to pursue your goals.
Book a conversation with us to see if we can serve you
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