Contemporary Investment Strategies
We believe that every investor may potentially benefit from an allocation to contemporary investments.
Our advisors take pride in discussing relevant contemporary investment strategies, in accordance with the endowment model, with you. It is proven* that endowments have largely enjoyed superior risk-adjusted returns. David F. Swenson, CIO, The Yale Endowment Report, states:
“Substantial allocations to alternative assets offer a level of diversification unavailable to investors in traditional assets, allowing the creation of portfolios with superior risk and return characteristics.”
A major contributing factor is the use of alternative investment strategies, using non-traditional and non-correlated asset classes, such as absolute return, private equity and real estate. Typically, less liquid assets provide a good source of diversification** and the potential to increase a portfolios risk-adjusted returns. Therefore, alternative investment strategies are an avenue we present to our clients, when appropriate for the client’s risk tolerance, time horizon and liquidity needs.
**Diversification does not guarantee a profit or protect against a loss.
You should be aware of and carefully consider the following points before determining whether alternative investments are appropriate for you. Alternative investments include, but are not limited to, investments in hedge funds, CTAs, private equity funds, real estate funds, and managed account platforms. Alternative investments are very speculative and are highly risky. Alternative investments are not regulated. They may employ speculative and risky investment strategies. They may have limited liquidity and carry high management fees. They may have little or no operating or performance history. Past performance is no guarantee of future results. There are no guarantees of profits.
THE ABOVE GENERAL SUMMARY IS NOT A COMPLETE LIST OF THE RISKS AND OTHER IMPORTANT DISCLOSURES INVOLVED IN INVESTING IN ALTERNATIVE INVESTMENTS AND, WITH RESPECT TO ANY PARTICULAR ALTERNATIVE INVESTMENT, IS SUBJECT TO COMPLETE AND SPECIFIC DISCLOSURES CONTAINED IN SUCH ALTERNATIVE INVESTMENT’S RESPECTIVE OFFERING DOCUMENTS. BEFORE MAKING ANY INVESTMENT, AN INVESTOR SHOULD THOROUGHLY REVIEW AN ALTERNATIVE INVESTMENT’S OFFERING DOCUMENTS WITH THE INVESTOR’S FINANCIAL, LEGAL AND TAX ADVISOR TO DETERMINE WHETHER AN INVESTMENT IN THE ALTERNATIVE INVESTMENT IS SUITABLE FOR THE INVESTOR IN LIGHT OF THE INVESTOR’S INVESTMENT OBJECTIVES, FINANCIAL CIRCUMSTANCES AND TAX SITUATION.