Investment and wealth management takes a disciplined approach that starts with understanding your individual objectives and risk profile. It also means helping you understand the risks associated with decisions you have made and will need to make going forward.
From an investment standpoint, after your needs have been determined we begin the process of asset allocation recommendations. This involves looking at the correlation of asset classes with one another. Creating a blend of assets that will meet your needs for long-term, consistent performance. Once these decisions have been made, applying the correct selection of investment managers can add substantially to portfolio returns. Finally, ongoing evaluation of your needs and risk profile will help in determining the appropriate portfolio for you.
It is also important to take a look at the other complex issues that clients with significant means face. For individuals/families this could involve reviewing estate planning documents, creating flow charts of current structures to provide clarity to current planning, and coordinating current efforts and potential changes with your CPA, estate attorney or other advisors.
For institutional clients, in addition to offering appropriate investment solutions, consideration must also be given to timely and accurate trade execution services. Creating certainty that effective communication is maintained, and insuring that the objectives of an employed strategy are reviewed as necessary with the appropriate personnel.
The investment research begins with filtering the selection of a sub-set of managers relevant for further review based on performance and risk profile as well as qualitative considerations. This allows for the identification of top managers within each sub-strategy.
A detailed quantitative analysis and qualitative analysis of the selected managers is then completed. The quantitative analysis includes completing attribution analysis, benchmark analysis, and quantitative risk assessment. The qualitative analysis includes reviews of the manager’s background, investment philosophy, investment process, and firm culture.
Upon completion of the quantitative and qualitative reviews, selected managers go through operational due diligence reviews. This includes on-site review of operational infrastructure, legal, financial and counterparty framework. A true operational risk assessment.