“If a portfolio loses 50% of its original value, it has to make 100% of what is remaining just to be back at square one.”
– Cassie Kang
It always starts with you
The First and most significant part of both the financial planning and investment process is understanding your needs, goals, time-horizon, tax status, and most importantly, risk tolerance.
Portfolio Constructions that are in alignment with your values, expectation and risk tolerance
Our portfolio construction phase involves three steps. We work with the highly skilled and experienced analysts, traders and managers at Brookwood Investment Group, LLC to evaluate our interpretation of the world to ensure that our thesis is all encompassing and balanced; and finally we assist in timely and efficient execution of our clients’ investment goals.
1. Asset Allocation:
We use a top-down approach to asset allocation. We look at the secular and market cycles, geopolitical conditions, economic data, fiscal, and monetary policies. We decide how to allocate the funds across different asset classes such as equities, fixed income, commodities, and alternative investments.
2. Security Selection
We carefully screen the universe of each asset class through our multi-criteria filters and benchmarks to select securities that best represent each asset class chosen. We account for the liquidity, fundamental strength, expense ratio and management quality in each instance. Investable net worth will be instrumental in deciding what types of securities are appropriate such as stocks, ETFs, Mutual Funds, separate accounts or private placement. Finally, we time-test the drawdowns, resilience and correlations of these basket securities in our portfolio management software.
3. Implementation Strategy
Implementation Strategy is carefully discussed and chosen to ensure we are optimizing the timing and trading costs at execution, such as whether and when to deploy dollar cost averaging, tactical sleeves or strategic shifts.
Last but not least, ongoing performance tracking ensures that our allocation and security selections are still optimal.
Our integrated software allows us to monitor the portfolio performance across different custodians and accounts, and review them holistically.
In the world market that has become increasingly interdependent and highly connective due to technological development and unprecedented global fiscal expansion, achieving true diversification has become increasingly challenging. Tactical allocation or shifts can be deployed to provide added diversification and protection. By collaborating with experts of special investment areas, we have, and can seek access to privately structured loan, venture capital, and other alternative investment opportunities for some qualified investors.