We craft client investment portfolios to suit their long-term financial goals. The balance between liquidity requirements and return objectives establishes parameters for the portfolio allocation targets. It’s essential to fully and honestly define these guidelines at the outset in order to avoid the need to make changes during the inevitable periods of broad market volatility. Episodes of market panic, exemplified in recent years, will continue to occur periodically in the future as well. It’s best to prepare before the storm.
Our investment strategies are based upon our internally-managed Equity portfolio, which itself is comprised of a select group of investments chosen by the Fairview Capital research team (please refer to the Process tab for additional information).
For clients seeking broad diversification and tax efficiency at low cost, Fairview offers a highly customized portfolio. This Wealth Management Account supplements Fairview’s domestic Equity portfolio with exchange-traded funds (ETFs) to gain exposure to global fixed income, international and emerging market equities, international and domestic real estate, commodities, and gold.
After a thorough review of investment objectives, income needs, and overall risk tolerance, we establish target allocation levels for each asset class, along with an acceptable tolerance range, for Wealth Management Account portfolios.
We monitor the portfolios, and when any asset class exceeds or falls below the ranges that we have established as acceptable, we rebalance back to the target allocation. The elegance of this model lies in its low cost and simplicity. Because we are using index ETFs, the management cost is very low; the rebalancing process then encourages the discipline of selling high and buying low.
Our core mission and fiduciary obligation is to optimize client outcomes, and this Wealth Management Account firmly meets our criteria. We maintain focus on our core expertise, which is fundamental research and stock-picking across the broad spectrum of the U.S. equity markets. Clients then obtain indexed exposure to a diversified range of international and domestic assets, along with our high-touch service, at a cost that we believe is substantially more attractive than competitive offerings.
Fairview principals have a significant portion of their financial net worth invested in the very same securities owned by our clients, thus reflecting a close alignment of interests.