Active Investment Management

To watch a brief video on our innovative active investment management approach, please click HERE.

Our investment professionals help you establish your financial goals, evaluate your existing portfolio in relationship to your goals, and strategically allocate your assets among core and specialized asset classes. To control risk, we employ Active Management which is a strategy involving a buy-and-sell method versus buy-and-hold.  We use a sophisticated computer modeling system to harness the power of statistical probabilities and mathematical process to continuously monitor price trends and identify asset classes that are showing strength.  Investment recommendations in these asset classes (including cash) are based on current market dynamics, taking emotional trading decisions completely out of the equation.  By having a quantified process indicating when to buy and sell, profits may be captured, losses may be minimized, and the chances of holding an equity through an extended market decline may be reduced.

Below is a sample over time of how a fund's holdings can change as a result of recommended trades made by the system as a result of pricing trends.

Our Active Management technique allows for pie slices to grow independent of one another and rotate to areas of market strength.

Portfolio pie slices often start evenly weighted when assets are first activated.  Then as the various sectors of the market move, the management process involves independent evaluations of each position. 

Only when a position begins to show weakness is it sold. Then, a new category/sector is introduced to the portfolio – one that has shown recent trends toward strong growth characteristics.

How Does the Process Work?

The computer modeling system is regimented and disciplined in a manner that adds an unemotional approach to the purchase and sale of each investment.  It combines a mathematical-based process with active management techniques to help us reduce client portfolio risk while enabling plan participants to participate in growth opportunities that exist in the ever-changing environment of today's financial markets.

The system automatically tracks investment price movements of thousands of potential investments and looks for advantageous trends, while at the same time, calculating exit strategies for each investment.  Each signal generated by the model is a function of how the price, or value, of each investment is moving during any of the various market cycles.

Thus, the model seeks to make a decision based on what is happening now in the market instead of what has worked in the past year or more.

Active Management vs. Buy and Hold

While a buy and hold strategy may work in a Bull market such as the one experienced in the 1980s and 1990s, there are inherent risks for using a buy and hold strategy in a Bear market such as the one experienced in 2001.

Learn How Our Funds Can Affect Your Performance

Let us show you how you can optimize the performance of your plan through active money management designed to:

  • Seek profit in up markets; and

  • Reduce risk in down markets

We invite you to CONTACT US to learn more.