The truth about investing:

  • 1.There is no secret sauce.

    It’s a simple matter of risk and reward.  There are no investments that provide higher returns without higher risk.

  • 2.The stock market offers good returns over the long-term.

    For 90 years, through every market cycle and world catastrophe, the stock market has provided 10-12% average annualized returns.

    *U.S. Small-cap Stock data courtesy of Kenneth French Dartmouth data library website; U.S. Large-Cap Stocks, Long-term Government Bonds and Treasury Bills data courtesy Aswath Damodaran NYU Stern website

  • 3.Nobody can "beat the market," and it's a loser's game to try.

    An astounding 89% of U.S. large-cap fund managers failed to beat their market index.*  We aren’t arrogant enough to think we can consistently pick the winners, so we buy the indices to ensure that we get the market returns.

    *For the ten-year period ending 12/31/2019, 89% of U.S. large-cap managers underperformed the S&P 500 Index according to the Standard & Poor’s SPIVA U.S. Year-End Scorecards.

  • 4.It is essential to capture market returns as cheaply and tax-efficiently as possible.

    Expenses and taxes can kill you.  Over time, a one percent difference in underlying expenses can make a huge difference.  Our obsessive tax management can add serious value.

  • 5.By far the most important determinant of portfolio returns is asset class – how much in stocks? How much in bonds?

    It’s all about how you slice the pie.  Diversification among asset classes reduces risk, and we build a customized allocation based on your individual risk tolerance.  The magic is in the mix!

  • 6.Bond portfolios require added finesse.

    Bonds require an active approach to manage interest rate risk, not to mention sector, credit quality, country, and currency exposure.  Advanced research capabilities (which include an onsite Bloomberg terminal) enable us to identify unique funds and managers, and construct transparent and well-diversified portfolios.

  • 7."Alternative" assets can reduce risk.

    Simply put, alternative investments provide a differentiated return stream from both stocks and bonds, allowing a portfolio to better weather the ups and downs of the markets.

  • 8.You need to know how you’re doing.

    Are your returns what they should be, given your portfolio’s risk?  Do you even know what your returns are?  Our client dashboard provides clear detailed information, including up-to-date returns, available 24/7 from wherever you are.