Investment Management

Philosophy and Approach

We don’t think we can beat the market, nor do we try to.  We focus on the drivers of investment returns that we do control:  taxes, fees, liquidity, exposure to market risk, and exposure to inflation risk.

Our approach to investing seeks to balance the risks in your investment portfolio with the risks in the rest of your life.  In arriving at our recommendations, we focus first on understanding your goals and priorities; then we consider what you do for a living, your health, your current and future family structure, whether you have insurance or other risk reduction strategies in place, and what assets and liabilities you have today.  This helps us tailor your investment strategy to your specific needs.  At a high level, we offer seven investment strategies, but within these strategies, each client gets a unique portfolio tailored to their needs.
Discretionary Investment Strategies

We offer five discretionary investment strategies.  To participate in these strategies, you delegate day-to-day decision-making to us. We exercise this authority based on your goals, preferences, and current situation.

Tax-managed U.S. equities

For a portion of your taxable holdings, we create a portfolio of individual U.S.-listed stocks tailored to your overall risk and sector exposure.  We seek to maximize the portfolio’s tax efficiency by choosing non-dividend stocks where feasible and selling the “losers” each quarter (tax-loss harvesting).  We can maximize the tax efficiency of this strategy when paired with a dividend stock strategy in your retirement accounts.

Dividend-paying U.S. equities

For a portion of your retirement accounts, we create a portfolio of individual U.S. listed stocks tailored to your overall risk and sector exposure.  When paired with the tax-managed U.S. equities strategy, we maximize overall tax efficiency by deferring taxes on dividends and capital gains across your entire stock portfolio.

Behavior hedging

When equity prices drop, rational long-term investors buy more stock to maintain their preferred asset allocation.  Real human investors have a chronic tendency to do the opposite:  sell low and buy high.  To counteract this instinct in retirement accounts, we use stock options to commit clients to their desired behavior before the market moves.

ETF strategic asset allocation

For many families, a long-term asset allocation strategy using low-cost exchange-traded  funds (ETFs) is a sensible approach for all of or a portion of their portfolio.  We also use ETFs for fixed income exposure where appropriate for our clients.

Risk mitigation

If you are have concentrated holdings, constraints on what you can invest in, or unique risks, we offer focused risk mitigation strategies including options and leverage.

Non-Discretionary Investment Advice

We offer two investment strategies on a non-discretionary basis.  For these strategies, we offer full-service advice, recommendations, and support, but you make the final decisions on specific investments.

Private investments

We can help you source, evaluate and manage private investments, such as closely held businesses, angel investments, private equity funds, and hedge funds.   We do not manage private investments on a discretionary basis.

Real estate

We can help you evaluate, execute and manage real estate investments. We do not manage real estate investments on a discretionary basis.

Click here to learn more about our investment management fees.