Whether you are building wealth, or simply trying to preserve it you will be provided with prudent recommendations to help you reach your financial goals.

 

Your money will be allocated in the most cost-effective manner among various suitable asset classes, commonly referred to as asset allocation.

 

Depending on the account size and how much loss you are comfortable within a 1-year time frame (often referred to as risk tolerance), your money will be invested in one or a mix of the following financial securities:

 

• Exchange Traded Funds (ETFs)

• No-load mutual funds

• Individual stocks and bonds

• Options (covered calls & collars)

 

The screening process and decision in which ETFs will be used will depend on factors such as the funds liquidity, expense ratio, bid-ask spread, assets under management, tracking error, exchange rate hedging and capital gain implications. While for choosing the most appropriate actively traded mutual funds factors such as the manager(s) tenure, investment style, alpha, Sharpe ratio, and expense ratio will be taken into consideration.

 

Any investment in an individual stock will be as a result of special opportunities that may arise and the investments in that stock will be usually between 3% to 5% of an account total value. The general decision on what to buy and eventually when it should be sold will be made based on traditional fundamental valuation parameters, while the exact timing of the buy and the sell will be based on widely used technical analysis.

 

Your account(s) will be held with Charles Schwab and you will benefit from your financial advisor’s ability to respond to market opportunities as well as to make informed, objective decisions about long-term investing strategies.