Our Portfolio Construction Framework: Conviction in Diversification

At the outset of our relationship with you, we spend a great deal of time assessing both the quantitative and qualitative issues involved in setting your asset allocation guidelines and making recommendations for your asset allocation plan. Some of the key factors considered in determining your objectives include:

  • Institutional approach that focuses on economic/business cycles
  • “Dynamic” v. “static” asset allocation
  • Overweight fundamentals/data, underweight noise/rhetoric
  • Evaluate benchmarks/strategies over a three-year cycle
  • Expect normal volatility at any time

Our goal is to develop an appropriate asset allocation customized to your unique needs. Additionally, we make adjustments to your asset allocation as necessitated by changes in your life and based upon the ever-changing risks, opportunities and relative value in the global financial markets.

Efficient portfolio construction involves creating a diversified portfolio that attempts to maximize return potential for a given level of risk. One way to add value is through a core and satellite approach. With a Core and Satellite approach, core investments provide a broad foundation comprising U.S. stocks, U.S. fixed income and developed market international equities. The core is then surrounded by satellite investments (View Chart), such as emerging markets, real estate securities and high yield bonds.

Using this approach, investors can:

  1. Separate and manage various sources of portfolio risk to improve portfolio structure and efficiency; 
  2. Add return generating opportunities and / or volatility-reducing asset classes to a portfolio;
  3. increase the likelihood of meeting their specific financial goals.


► Market Snapshot1

1- Disclosure: The information above is from Investing.com and is for informational purposes only. Congress Wealth Management, LLC will not accept any liability for loss or damage as a result of reliance on the information contained within this website including data, quotes, charts and buy/sell signals. Please be fully informed regarding the risks and costs associated with trading the financial markets.

You are now leaving the Congress Wealth Management, LLC web site and will be redirected to our client reporting site which is maintained by Black Diamond.