It has been our experience that investment success is usually achieved through an unwavering commitment to a set of clearly defined investment principles. These principles define our investment philosophy.
- Investors should develop a long-term plan and try to stick to it.
- Putting the plan in writing is crucial. Every investor should have an investment policy statement.
- Asset allocation and style diversification are effective ways to manage risk and returns.
- Chasing “hot performance” can inevitably lead to poor investment results.
- Leading-edge analytical tools and state of the art products are crucial to developing and implementing the optimal plan.
- An advisor should work in a conflict-free environment. He or she should not compromise an investor’s welfare because of proprietary products or sales incentives.
- When it comes to serious money, investors should consider using professional money managers with proven track records.
- Never let emotional decisions replace rational judgment.
*Diversification does not assure a profit or protect against loss in a declining market.