Savers seek to keep their wealth safe and intact, preserving it from being lost in difficult markets while remaining cautious during periods of upward trending market conditions. Common characteristics of the saver include a desire for predictable results and an aversion to risk characterized by fear in declining markets. To savers, risk means any loss of principal and volatility is seen as threatening to the present and future of their financial decisions and are often pessimistic about their financial decisions after they make them. If things go wrong financially, they adapt slowly and uneasily.
Savers approach wealth management by utilizing accumulation and distribution investment strategies that may guarantee a lower yield rather than those with the potential of a higher return with greater risk.
Investors seek to increase their wealth by accepting the potential for the value of their investments to increase or decrease at any given time. Common characteristics of the investor include an acceptance of variable, investment results and an acceptance of risk of a declining market. To investors, risk and volatility are seen as windows of opportunity for enhancing their present and future well-being.
Investors typically think of themselves as having the ability to make good financial decisions. They usually feel at least somewhat optimistic about their major financial decisions after they make them. If things go wrong financially, they adapt somewhat or very easily. They are more concerned about the possible gains from their decisions than possible losses.
Investors approach wealth management by utilizing asset accumulation and investment strategies that seek to increase their return, while remaining conscious of greater risk, rather than those with guarantees, but lower yields.
Protect and Advance
This approach favors risk management over reward chasing by pursuing a majority of the equity market’s upside and safeguarding against the majority of the equity market’s downside in a globally diversified portfolio of equity and fixed-income markets. The objective of this methodology is achieved by scaling in and out of the markets based on definable trends. Hedging against downside losses may result in catching upside returns.
This approach seeks capital appreciation through investing in a global diversified portfolio of equity and fixed-income markets. It is a dynamic approach that overweights or underweights asset classes through the application of both macro-oriented, qualitative, top down approach (focusing on economic, political, and social trends) and a bottom-up quantitative/technical approach. The portfolio will tend to be invested in the equity and or fixed income markets in a majority of market conditions and seeks to add value by dynamically allocating the portfolio as opposed to a strategic rebalancing of static asset allocation.
This approach captures the upside and downside trends of equity and fixed income markets by remaining fully invested. The methodology will purchase and hold various asset classes which include large cap, mid cap, and small cap U.S. and international equities, bonds, natural resources, commodities, and real estate and will rebalance at least annually. It can be incorporated into a portfolio seeking to capture the full movement of the markets. However, it is important to note that inherent with capturing the entirety of the upside, all the downside capture will be experienced as well.Contact Us