There are 5 key characteristics of our Investment Management process:

  1. Asset Allocation
  2. Open Architecture
  3. Tax-managed Investing
  4. Fundamental & Tactical
  5. Alternative Investments & Hedge Funds

Asset Allocation

According to numerous studies, asset allocation is responsible for nearly 90% of investment returns. We use state of the art technology, and years of asset allocation experience to develop comprehensive models for our clients to effectively manage risk, optimize investment selection, lower correlation between investments, and reduce fees and expenses across investment vehicles. Our aim is to provide superior investment returns on a risk–adjusted basis over the long term through efficient asset allocation and rigorous performance monitoring.

Open Architecture

One of the greatest benefits of being an SEC–registered, fee–only Investment Advisor, and not affiliated with a broker/dealer or investment bank, is our nearly unlimited universe of available investment vehicles. We can invest in stocks, bonds, mutual funds, ETFs, ETNs, options, and various other investment vehicles without conflicts of interest. We don’t have an “approved list” or “preferred providers” like some brokerage firms do.

Because of our independence, we are able to select the absolute best products and managers available for our clients. We strive to use products that minimize fees and expenses wherever possible, enabling us to manage investment costs and get our clients the most out of each investment dollar.

Tax-managed Investing

At HVWM, we are extremely mindful of the impact taxes can have on our clients. At the core of all of our asset allocation models are passively managed index products that have very low turnover, helping to minimize the potential for capital gains impact. Though we believe that active management of these index products is essential to successful investing, we always are always considerate of the tax implications of our investment decisions.

Fundamental & Tactical

At HVWM, we custom create investment models using a combination of fundamental research driven investments in several major asset classes, including domestic equities, international equities, bonds, cash, real estate, and commodities. We further diversify into sub-classes within those major asset classes based on capitalization (small cap, large cap, etc.) and geographic location (emerging markets, developed foreign markets, etc.). The level of investment in each particular asset class is driven by our own proprietary research and a rigorous census of each particular client’s goals, objectives, and risk tolerance. Our investment allocations are constantly reviewed and monitored.

There is also a tactical component to our investment selection process, whereby we may invest a portion of assets in specific segments of the markets that we believe present a significant investment opportunity at a particular point in time. We may choose to invest a percentage of client assets in areas such as alternative and renewable energy, individual commodities, alternative investments, specific countries, separately managed accounts, and various other opportunities as they arise. All of our investment decisions are based on the individual goals and risk tolerances of each client. We believe that not all investment vehicles are appropriate for all of our clients, and will never deviate from an investor’s goals to pursue returns for an inappropriate amount of risk.

Alternative Investments & Hedge Funds

Hedge Funds and other Alternative Investments are attracting a huge amount of investor interest, and have also created a large amount of confusion in the public sector. Much of the confusion and the interest can be attributed to both the lack of public information on the funds, and the fact that there are very specific minimum qualifications that investors must meet in order to invest in them.

At HVWM, we have a vast knowledge of hedge funds and alternative asset classes. If you do meet the minimum net worth qualifications, we believe that they may have a place in some portfolios. If you have questions about Hedge Funds or other Alternative Investments, please give us a call. We are always happy to educate our clients on all aspects of the investment industry.