Diversify your portfolio.
Diversification allows us to build portfolios tailored to each client’s preference and attempt to maximize returns at their preferred risk level.
We use ETFs.
For investment purposes, we use a portfolio of passively managed exchange-traded funds (ETFs). ETFs are traded like stocks and usually track a certain index. This means they are typically cheaper than actively managed funds, like mutual funds. Because they hold multiple securities in one share, they add instant diversification to your portfolio.
The information you provide when setting your first goal is used to recommend a portfolio that optimally weights each ETF to provide your desired amount of risk and potential return.
What is a buy-and-hold investment strategy?
Our buy-and-hold investment strategy is a passive management tactic. We’re not regularly buying and selling the ETFs in your account. Instead, we encourage our clients to hold their ETF investments in their account to attempt to capture the possible long term increase in value and minimize short-term capital gains taxes.
When we do sell your assets, you’ll most likely be paying the lower long term capital gains tax on assets that you’ve held for more than a year.
There's power in passive investing.
Passive investing refers to building portfolios that are designed to grow with the market long term instead of trying to chase short-term fluctuations. Research continues to show that by shunning the high stakes game of active stock picking, investors can rise above psychological biases to capitalize on the growth of the markets.
We’re masters of the balancing act.
Let’s say there’s a price fluctuation in the ETFs in your account. When your portfolio allocation swings by 5% or more, we rebalance.
Rebalancing means we adjust the allocation in your portfolio, so it matches the allocation you originally selected. Instead of just selling your ETFs to rebalance your portfolio, we first use your dividends and deposits. Less securities sold = less capital gains taxes for you.
Ready for next-level tax efficiency?
While we typically use a buy-and-hold investment strategy, our tax-loss harvesting feature will automatically sell ETFs that have experienced small losses and replace them with similar ETFs.
Your portfolio value and your investment in the ETF asset classes stays the same. The difference is that you realize the loss (i.e., a capital loss).
Invest and Chill
We'll monitor your portfolio with you.