Saturday, November 22, 2008

Friday, July 18, 2008


There are several factors to consider when managing a portfolio. The overriding criteria is meeting individual investment objectives while concurrently minimizing market volatility. We believe the combination of the modular components can provide enhanced risk-adjusted returns over time, but market trends or bull or bear market cycles can radically alter investment returns in any given time period. Therefore, monitoring and adjusting clients' portfolios as market conditions change is a necessity.

That is the function of the personal overlay manager. To orchestrate and translate ideas, information and strategies into money for you.

The identification of market trends may indicate the need for changes in the portfolio structure in one or more of the investment modules. For example:

  • FIXED INCOME -establishes a minimum allocation according to the liquidity needs of the portfolio.
  • REAL RETURN - utilizes income and total return vechicles to provide absolute returns
  • CORE EQUITY- establishes a minimum allocation to the broad market, is a buy and hold strategy that is rebalanced periodically.
  • CORE +/- may be tilted towards growth, value, large-Cap, Small-Cap or International to overweight the best performing sectors or Fixed income to decrease broad market exposure.
  • TACTICAL/ALTERNATIVE - may be increased or decreased according to market conditions and the advisor's view on the equity markets and/or non-traditional asset classes.
  • OPPORTUNITY/Special Situations - seeks opportunity and it's purpose is to be ready when it knocks.

As market conditions, or client's needs change, the advisor can shift allocations within each MODULE

Saturday, July 12, 2008


A proactive forwarding looking approach. MAIN & WALL acts as an overlay MANAGER. EACH matrix is customized to fit the profile and investment personality of the client. How the BUCKETS are FILLED and MANAGED is unique to each. We combine both passive and active styles to achieve the desired result.


In taking an offensive approach, one could seek to capitalize on  macroeconomic  trends that reflect opportunities in the market. The use of emerging markets or sector funds are examples of different asset classes an investor could use in taking an offensive approach. The outcome ideally would be increased returns, higher beta and higher standard deviation.


A defense strategy would emphasize less-volatile, income producing strategies. Bonds, cash, short-duration bond funds, etc. are examples of different asset classes an investor could use in taking a defensive stand. Ideally, the outcome would be higher liquidity, lower beta, lower standard deviation and higher yield/income


Upon determination of the portfolio's overall investment strategy, we utilize the FIXED INCOME, REAL RETURN, CORE/CORE+/-, TACTICAL/ALTERNATIVE and OPPORTUNITY modules to create portfolios suitable for both longer and shorter term market conditions. We utilize our proprietary research, personal insight and overlay management capabilities to further adapt to changing market conditions as well as the client's interests and unique needs.

Wednesday, July 9, 2008


Because the Matrix uses an expanded universe, there is always an answer. In the Modular World, there is a time and a place for everything.

Most retirement accounts suffer from high fees and poor allocation decisions.
There is often plenty of value that can be added with simple structural improvements before we even think about playing jazz.