Your life is full.  You have many essential roles in your life:  employee or employer, partner, parent, friend, manager of the household.  All of these roles are important to you and take priority over everything else.  You most likely do not want to add an investment manager role to that list either. You do not have the ability or willingness to do an adequate job.  

The Investment Management Program is for those that are living a full life--knowing where they want to spend their precious time and energy. These people realize that their capacity is best on something other than researching asset classes, investment managers, and investments.  The DIY way can lead you to second guess yourself, make a mistake, miss opportunities.  Or, most likely,  to make an error you never knew you were making.   Successful investing requires a disciplined and objective approach, and research shows that it is nearly impossible for the average DIY-investor to do with their own money.  When the average DIY-investor manages their own money, they react emotionally, buying or selling for the wrong reasons, responding to the financial news cycle.  Any of these single factors can prevent you from reaching your goals.

Hiring a professional will add objectivity to your investment experience, overcoming the hard to avoid classic mistakes that so many investors make.  Hiring a Chartered Financial Analyst can keep you on the right track by helping you avoid costly mistakes to ensure a better financial outcome than a “go-it-alone-approach.”

Individual Strategy

When done properly, an investor’s allocation of assets will reflect his desired goals, priorities, investment preferences and his tolerance for risk. Asset allocation is an individualized strategy, so there really is no perfect mix of assets.  Each individual’s strategy is built on the careful consideration of the key elements of their financial profile:

Investment Objectives: What it is the investor hopes to achieve using his investment dollars – improve current lifestyle; achieve capital growth; fund a specific goal, such as a college education

Risk Tolerance: This reflects the investor’s comfort level with market fluctuations that can result in losses.  Inflation risk and interest risk need to be considered as well.

Investment Preferences: An investor may prefer one asset class over another based on a certain bias or interest towards the characteristics of that class.

Time Horizon: The length of time an investor is willing to commit to achieving his objectives.

Taxation: Investing in a mix of asset classes will have varying tax consequences.

An Evolving Strategy

A sound asset allocation strategy includes periodic reviews.

About the only certainty when it comes to the financial markets is that they will change, and so will your financial situation.  Through market gains and losses, a portfolio can become unbalanced and it may be important to make adjustments to your allocation.  As people move through life’s stages their needs, preferences, priorities and risk tolerance change and so too must their asset allocation strategy.   

Asset allocation, which is driven by complex mathematical models, should not be confused with the much simpler concept of diversification.

Learn more about asset allocation by contacting us today.