MAP is our solution to the need for custom-designed portfolios. Based on modern portfolio theory, our financial consultants create a unique portfolio consistent with the following client criteria:
Utilizing a screening process, the goal of our financial consultant is to identify a subset of mutual funds appropriate for our clients from a larger universe of more than 12,000 available funds. For example, this process can help reduce redundancy of specific equity holdings among funds in order to create efficiencies. Once the list of funds is identified, it is subject to yet another series of filters in an effort to identify the most appropriate fit for the client. This “best of the best” list is intended to present a portfolio with a statistically optimal combination of risk and return.
Creating the client portfolio involves several steps:
The first step in the process of building the portfolio begins with the client risk interview, which was developed specifically for our proprietary asset allocation software.
Based upon the resulting risk profile an Investment Policy Statement (IPS) is produced. The IPS has a twofold purpose – first, it is intended to identify both strengths and weaknesses within the client’s current portfolio. The IPS will then create a statistical comparison to the recommended portfolio. The second purpose of the IPS is to identify the step-by-step process required to implement the MAP program.
Finally, a customized portfolio is presented to our client based on our findings.
Changes in client investment objectives may occur over time. Additionally, changes in markets environments may require the need for monitoring your portfolio through your financial consultant. Accordingly, we are prepared to provide regular monitoring services in order to make appropriate changes to fit your specific investment needs.
