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Our overriding investment philosophy is to match the appropriate assets with each client's risk and return preferences to achieve their long-term goals. We recognize that in any investment process there are two critical steps: first, determining your investment objectives, and then allocating your assets to meet those objectives. During this process, your ability and willingness to take risk is determined and an appropriate investment plan is established. Asset allocation is the most important decision an investor will make and is the key determinant of long-term performance.
Fixed Income Strategy
Our fixed income strategy accomplishes two fundamental objectives: the timely payment of income and the preservation of principal. We believe that the best way to ensure that these objectives are met is through basic risk management. Fixed income investments include U.S. Treasury Notes and Bonds, U.S. Government Agency Obligations, and Corporate and Municipal Bonds with an "A" rating or better by one of the major rating agencies. Your tax bracket determines the use of taxable or taxexempt bonds.
Portfolios generally have an average maturity of five to eight years. We rarely buy investments over 15 years in maturity, because we believe that longer-term bonds can be too volatile. Performance is benchmarked against the Lehman Intermediate Government/Credit Bond Index and the Morningstar® universe of intermediate bond funds.
Mutual Fund Strategy
We also offer a full range of model mutual fund portfolios designed to provide broad diversification across many different asset classes. Unlike many banks and brokerage firms, we do not manage our own proprietary funds. This allows us to be completely unbiased and screen the entire universe of no-load mutual funds to provide you with the best selection available. Any mutual funds used will be true no-load; with no sales commissions charged to purchase or sell shares.
Equity Strategy
Our equity investment strategy concentrates on stocks with value and growth characteristics primarily in the large-capitalization market. Our style is best characterized as "Large Cap Blend." We believe it is important to focus on stocks that have strong management, balance sheet quality, market position and reasonable valuation. Stocks that are purchased are typically held for the longer term. Therefore, our portfolios experience low annual turnover and are tax efficient. The majority of our holdings are generally recognizable and provide a dividend yield that is equal to or above the dividend yield of the market (S&P 500). Large U.S. multinational companies provide our portfolios with foreign exposure. Small-capitalization exposure is gained through carefully selected and monitored no-load mutual funds. Performance is benchmarked against the S&P 500 Index and the Morningstar® universe of large blend funds.
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