Achieving Your Financial Goals Requires Creative Solutions, As Unique As Your Fingerprint

The Coalescence of the Science of Investing and the Art of Investing

The Science: The science of investing involves rigorous quantitative analysis and data-driven decision-making to optimize portfolio performance and manage risk. It relies on statistical models, financial theories, and empirical research to inform asset allocation, security selection, and risk management strategies.

The Art: The art of investing blends creativity, intuition, and experience with rigorous analysis to navigate the complex world of financial markets. It involves looking beyond raw numbers and financial metrics to understand the broader context of investments, including market psychology, economic trends, and company dynamics. This artistic approach to investing recognizes that markets are driven by human behavior and emotions, requiring investors to interpret subtle cues, adapt to changing conditions, and make decisions in the face of uncertainty.

Investment Portfolios Aligned with Your Goals and Values

Planning and investing for your future can be a rewarding experience when you have the right team in place. Let us worry about the markets, investments, and risk management of your portfolio. Once we understand your risk profile, investment goals, and values, we can construct an investment portfolio aligned with your goals and values. We want you to focus on the activities that make you happy and help you achieve financial success.

Investment Strategies:

Our investment strategies are based on a foundation of systematic quantitative analysis (the science), which allows us to identify investment trends and the securities that will benefit from them; and experienced qualitative judgment (the art), which allows us to choose the best securities from among the leading investment candidates.  Finally, we employ objective, prudent risk assumptions to portfolio construction.

Investment Process:

Asset allocation is the cornerstone of our investment process. We implement our asset allocation strategy using a two-pronged approach—Strategic and Tactical Asset Allocation.

Strategic Asset Allocation. We allocate a percentage of the portfolio to core equity and fixed income holdings using globally diversified securities based on your risk profile, investment goals, and values.

Tactical Asset Allocation. We tactically allocate the remainder of the portfolio to 2-5 of the following satellites based on your risk profile, investment goals, and values:

  1. Equity Trends

  2. Fixed Income Trends

  3. Macro Trends

  4. Enhanced Income

  5. Alternative Investments

This process results in well-diversified portfolios of securities with the appropriate risk/return expectations for your financial plan. We understand that no two clients are the same, some clients may have one or more satellites excluded from their portfolio, while others may focus exclusively on one or more satellite strategies. Each portfolio is customized to meet your unique needs.

All securities in your portfolio are subject to periodic review and change based on market conditions, market trends, and other quantitative and qualitative metrics employed by SBC Investment Management.

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Fundamental Beliefs

  • We believe that markets are generally efficient.

  • We believe that some areas of the market tend to outperform other areas of the market.

  • We believe that markets have more extreme moves in both directions than explained by a normal distribution curve.

  • We believe proactively managing the risks of a portfolio is as important as managing for the return of the portfolio.

  • We believe that no one person or model can reliably predict market tops and bottoms.

  • We believe a core holding of broad market exposure should be at the center of your portfolio.

  • We believe core holdings can be enhanced by strategic positions that overweight different market segments and themes and add value to your portfolio.