Step one: Prioritize

The investment process begins with an assessment of your personal goals: retirement, home ownership, college funding, etc., which, when translated into our proprietary spreadsheet analysis provides rates of return needed to achieve those objectives.

Sensitivities to risk and market fluctuations creates the appropriate distribution between lower return, more stable fixed income assets (bonds), and higher returns variable assets (stocks.)

Step two: Market Assessment & Allocation

Next, a second allocation is developed relative to market prices, valuations and yields.  Within the fixed income segment, consideration is given to bond quality and length of maturity (1- 30 years), inflation and economic expectations.

Within the stock segment, a broadly diversified portfolio would include small and large capitalization stocks as well as foreign securities, with specific allocation made according to perceived risk/reward opportunities and growth/value metrics.

Preferred:  US / Blue Chip (Large) / Growth

Step three: Allocate – Three Levels

  1. Mutual Funds: Provide broad diversification and professional management
  2. ETF’s (Exchange Traded Funds): Offer low cost indexing to a variety of market segments and industries (eg small cap / aerospace / biotech / software)
  3. Individual stocks: Enable specific opportunities from leading companies in their industries.

Objective:  Gain broad market exposure with focus on cost effective products.

Management fee (average):   .5% (1/2 of 1%) Billed quarterly in advance

Step 4: Review

Accounts are monitored for performance, relative to the desired result.  Periodic review and Performance Summaries are provided to clients, as are opportunities for face to face meetings during the course of the year.

Assets under management are held in client’s name at Wedbush Securities, a regional brokerage firm in Los Angeles.

Securities Offered Through: OAK TREE SECURITIES INC | Member: FINRA, SIPC, MSRB