Our Approach
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Find your baseline
Before we invest anything, we get to know how you think about risk. Through conversations and a risk profiling questionnaire, we look at three measures:
- Capacity:
- your ability to take risk, based on your timeline, income needs, and savings.
- Tolerance:
- your willingness to accept ups and downs in pursuit of potentially higher returns.
- Composure:
- how you tend to react when markets turn uncertain, and whether swings unsettle you or roll off your back.
Together they set your baseline, the stock-and-bond mix that fits you. A profile might show, for example, high capacity, medium tolerance, and high composure.
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Build your portfolio
With your baseline set, we build your portfolio within those limits. Part of it is set aside as an adaptive core, which can respond to market conditions within a range you're comfortable with.
Depending on your needs, we may use one of our adaptive model portfolios, or build a custom mix from our in-house equity, fixed income, adaptive, and options income strategies that follows the same approach.
We also account for the details of your situation, such as the tax cost of investments you already own, your account types, your income needs and tax situation, and any personal objectives or restrictions. Where we can, we hold each strategy in the type of account where it's likely to create fewer taxable events.
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Adapt to conditions
Markets change, but a fixed mix doesn't. A traditional 60/40 portfolio, for example, keeps 60% in stocks whether conditions are favorable or not, which can be frustrating in some years and unsettling in others.
We monitor financial conditions and adjust. At its heart, this is a value-seeking approach that leans toward assets that look attractively priced and away from those that look expensive. Valuations guide our decisions, while credit conditions, the economy, and market trends provide additional context.
The adaptive core shifts between stocks and bonds within set ranges around your baseline, rather than moving all in or all out. Our aim is a portfolio in proportion to both market conditions and your goals, so you can stay invested with more confidence through full market cycles. These are objectives, not guarantees.
In a strong and sustained rally, a portfolio that leans away from expensive stocks may trail one that stays more heavily invested in them. We accept that trade-off.
Static
Bonds StocksAdaptive
Bonds StocksOpportunisticMore opportunistic
Your baseline
ConservativeMore conservative
Illustration only. Not an actual portfolio or results. -
Revisit as life changes
We stay in touch, and when your goals or circumstances change (retirement, a move, an inheritance, a change in family or health), we revisit your risk profile and reset your baseline. In the meantime, your adaptive core keeps responding to markets.
Are we a good fit?
| Yes, likely a good fit | No, probably not a good fit |
|---|---|
| You'd rather have professionals manage your investments | You'd rather select your own investments |
| You want a portfolio that responds to conditions | You want to maintain a fixed mix as markets change |
| You want a disciplined approach to risk and return | You prefer to act quickly on short-term market moves |
| You judge results over full market cycles | You measure results month to month |
| You want to talk with the people who manage your money | You prefer an online-only service |
| You want a fiduciary watching costs on your behalf | You'd rather track fees and providers yourself |
| You want investing, advice, and planning in one relationship | You only need a one-time answer on a single decision |
Start with a conversation
A no-obligation, 30-minute introduction with investment people, not salespeople. If it seems like a fit, we'll follow up with a written proposal.