Prudent investing is a rational process. It involves deciding how much risk you should take, then choosing asset classes to match your preferred risk-return tradeoff. How your portfolio is exposed to risk—which asset classes are held and in what proportions—determines the expected return you can hope to achieve relative to other possible asset class allocations. Your asset class allocation, described in your investment policy, is the main determinate of expected returns for planning over long horizons.
We manage a broad range of asset allocations to meet each client’s diverse investment goals with the overall goal of wealth preservation related to retirement income. We manage investment strategies with these core beliefs:
- Securities are fairly priced in liquid and competitive markets
- Diversification is essential
- Investing involves trading off risks and cost with expected returns.