Describe your investment approach.

We apply an evidence-based investment approach, tailoring your portfolio's level of risk (and its expected returns) according to your personal preferences, goals and circumstances. We adhere to the tenets of Modern Portfolio Theory (MPT) and to the guidelines provided by the American Law Institute in drafting The Uniform Prudent Investor Rule. MPT indicates that the overwhelmingly largest determinant of portfolio performance is its asset allocation —how your assets are exposed to various risk factors. We build portfolios accordingly, typically using low-cost institutional managers who provide passively managed mutual funds and diversifying globally to reduce non-market risks.

Many other financial service firms offer an approach based on "active management." Active management assumes that the markets are generally inefficient, allowing clever individuals to regularly exploit and profit from market anomalies (beyond the costs of consistently seeking and executing such trades). And yet, it seems evident to us that the collective wisdom of all market players —especially in today’s electronic era —results in highly efficient markets. Markets reflect fair pricing almost instantaneously upon release of any good or bad price-related news. In offering an "evidence-based" approach, we heed the academic wisdom. We assume that the opportunities to exploit inefficiencies are too few and far between to effectively and affordably pursue.