We believe that the foundation of your investment portfolio should be rooted in a written financial plan. Our process allows for portfolio implementation only after we’ve completed the planning process.
We utilize a combination of active and passive mutual funds and Exchange Traded Funds (ETFs) to build our portfolios with the following core objectives:
1) Capital markets are efficient
This approach assumes that the investment's price is the most reliable estimate of its current value and refrains from attempting to outsmart the market.
2) Returns aren’t predictable
Rather, we believe that investment success is about time in the market, not about timing the market’s highs and lows.
3) Risk and expected reward are related
Allocating a higher percentage of your portfolio to stocks (or stock mutual funds and ETFs) should carry a higher expected rate of return over the long run, but may also introduce increased volatility over the short-term.
4) Diversification is a key driver of success over the long-term
Consistently choosing the top-performing stock, market sector, or asset class each year is not only challenging but can also leave investors vulnerable when it matters most.
We believe a wiser investment approach involves broad diversification across both domestic and global markets, avoiding the risk of putting too many eggs in one basket.
5) Focus on what we can control
Factors like politics, interest rates, inflation, and outsmarting the market are out of an investor’s control. Instead, our investment philosophy centers on a disciplined approach that acknowledges investor behavior as the primary driver of returns, rather than external factors.
