An investment philosophy is a core belief about the financial markets. It is so fundamental as to be unwavering, and it drives everything we do. In our opinion, every advisor should be able to state their investment philosophy in one sentence.
During that time, we have observed that every asset class, from stocks to bonds to commodities to real estate, has the potential to add value and/or to hedge risk in a portfolio — given the right market conditions. Just as important as knowing which investments to choose, we believe it’s critical to know which ones to avoid. This is a primary difference between our approach and the conventional “asset allocation” approach, which advocates being invested in ALL sectors/classes ALL the time.
That’s where our training, skill set, disciplined process, and experience come in. We are convinced that for most clients, careful and selective investment in growth vehicles is essential to achieve long-term financial goals. However, our intimate understanding of financial markets tells us that there are times when market risks are elevated. Those times call for a defensive investment posture that trims back or avoids exposure to asset classes that carry more risk than their return potential justifies and redeploys assets into other types of investments.
During that time, we have observed that every asset class, from stocks to bonds to commodities to real estate, has the potential to add value and/or to hedge risk in a portfolio — given the right market conditions. Just as important as knowing which investments to choose, we believe it’s critical to know which ones to avoid. This is a primary difference between our approach and the conventional “asset allocation” approach, which advocates being invested in ALL sectors/classes ALL the time.
That’s where our training, skill set, disciplined process, and experience come in. We are convinced that for most clients, careful and selective investment in growth vehicles is essential to achieve long-term financial goals. However, our intimate understanding of financial markets tells us that there are times when market risks are elevated. Those times call for a defensive investment posture that trims back or avoids exposure to asset classes that carry more risk than their return potential justifies and redeploys assets into other types of investments.