Investment Process

Foundation and Non-Correlation

We pursue a foundation and non-correlation approach, while also recognizing that not all products are suitable to all investors. We construct each client’s unique portfolio based on their personal circumstances, including risk tolerance, return expectation, investment objectives and time horizon. We provide efficient and effective exposure to traditional markets, and temper the systematic risk of the portfolio through diversification into alternative-strategy investments where appropriate.

We read and otherwise consume a lot of information – world news, of course, but also investment academic papers, psychology, behavior, history, the future. Raw knowledge doesn’t equal wisdom, however, so we also ponder, synthesize, and distill this information into an actionable view of the investing world.

Our research is not a “one and done” process, but rather an ongoing effort to stay current and understand the changing dynamics of what drives investment returns and how to mitigate the associated risks.

The reality is, there are many ways to make money in investing. The sad fact is that even with a winning method, most investors will not maximize their return, and many will not achieve their goals because of a lack of one thing: Discipline. Most investors fail because they follow the herd, without a plan, and react emotionally to the fear and greed that is peddled by the media.

Working with our clients, we formulate a plan to achieve their goals within certain risk parameters, and then we execute that plan with military precision. We refuse to be carried away by either the rampant enthusiasm or panic of others.

We build and manage our clients’ portfolios to withstand, as best as possible, unforeseen shocks and surprises. Our primary focus is on risk management rather than chasing higher returns, and for this reason, we recommend diversified portfolios of complementary securities to achieve the necessary return with the least amount of risk possible.

Our world is in a constant state of flux, and one of the mistakes many investors make is being too rigid. We choose to remain open and adjust course as necessary.

Our process of portfolio construction for our clients, and the management of this portfolio on a continuous basis, involves the following steps: