The quote above by Warren Buffett is one of many valuable tidbits shared by him over the years. The majority of his quotes, speeches, and annual letters to shareholders emphasize a common theme:
We would add that given today's unusual economic and global political environment, you should be aware of opportunities and threats among the various asset classes and try to maximize your returns by avoiding large and prolonged declines in any market. It's too easy for investors and their advisors to rely on theories which may not be proven in the long run.
Our process and investment models strive to adhere to these tenets.
We stay focused, buy what we know, stay diversified, buy good values, and make adjustments to our allocations when necessary.
The chart below summarizes the expected return and volatility of our 5 standard Wealth Club Models when "normally" positioned. That is, when they are fully allocated to each asset class within the portfolio. If we made no tactical adjustments over time, these would be our expected results (no guarantees in the investing world, remember). What you have to remember is that a portfolio can experience a lot of fluctuation in the short-to-intermediate term, and while that works FOR someone who has a long timeframe, it can work against someone who is more conservative, or has a shorter investment horizon.
So, our "risk-managed' tactical adjustments will make changes to the normal asset class allocations periodically to help minimize downside risk and enhance positive performance (you'll learn more about this in our Wealth Club Basic Curriculum course on this subject).
Artifex has partnered with Riskalyze, a state-of-the-art risk analysis and portfolio optimization package that pinpoints your acceptable levels of risk and reward with unparalleled accuracy. Riskalyze helps us ensure that your portfolio aligns with YOUR investment goals and expectations.
Together we can take the guesswork out of your financial future.
Try it here:
It's easy to get started with your Wealth Club Portfolio. Simply click here and begin the process of opening and funding your first account. If you would like to open multiple accounts, we'll contact you to help.