The Principles We Apply To Every Portfolio
We don’t invest in strategies we don’t understand. Limiting your portfolio to a small number of diverse investments enables better decisions faster.
Indexes and passive investing in efficient markets tend to outperform active managers. We only employ active management when it offers specific, long-term value above and beyond the benchmark index.
We avoid paying to access any market better served by low-cost ETFs and/or Indexes.
Tax Loss Harvesting
Markets don’t rise or fall in straight lines and losses accrued during a downturn, however brief, can be beneficial from a tax perspective. In some cases, even desirable. Knowing how to use capital losses can be of great value to the taxable investor.
Illiquidity carries significant risk and we generally only use it to access areas of the capital markets that are otherwise inaccessible via public exchanges.
We don’t believe in chasing hot stocks or following the herd. We believe changes in asset allocation should be determined by valuations and that the best investments make sense on a valuation basis.