Asset Allocation Presentation You will need a password to view this slide show.
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OUR FUNDAMENTAL INVESTMENT BELIEFS

Markowitz had a point—Nobel laureate Harry Markowitz, commonly known as the Father of Modern Portfolio Theory, provided notable research which has significance in the creation of all portfolios.

The Capital Markets are not perfectly efficient—The Efficient Market Hypothesis holds true to a point but there are, from time to time, market inefficiencies of which one can take advantage.

There is a risk premium demanded from illiquidity—Illiquid investments must have substantially superior relative income, growth potential, and/or tax benefits, or fulfill an allocation to an asset class which cannot otherwise be reasonably fulfilled.

Chasing the latest hot stock or asset class is a losing proposition—Assets which have recently risen the most in market value will be generally considered to be at greatest risk of near-term decline in value and vice versa.

The overwhelming majority of short-term information is senseless noise—Opinions on successful investing are more prevalent than ones for the cure for the common cold. It is not possible to “win” in the market by consistently predicting short-term fluctuations or trends. Nor is such activity or clairvoyance needed to succeed as an investor.

Fundamental valuations have merit—As popular sentiment swings, “group think” or herd behavior can result in significant over/under valuations of asset classes. These valuations are seen as opportunities to go against the grain, not as accurate indicators of a company’s or the market’s worth.

Investment strategies are designed and implemented with a long-term perspective Short-term market fluctuations can not be consistently and accurately foreseen. A long-term perspective allows short-term market trends to play themselves out and conditions to revert to the mean.

Owners make more than loaners—There is a tremendous long-term preferential return and tax treatment afforded those who have accepted the volatility associated with owning rather than loaning assets.

Popular opinion is of great value—Popular opinion has significant value, when used as a contrary indicator.

Investment advisory services provided by Kyde Capital Strategies LLC, a Registered Investment Advisor. Securities offered through Cambridge Investment Research, Inc.,
a Registered Broker/Dealer, member FINRA/SIPC. Kyde Capital Strategies LLC and Cambridge Investment Research, Inc. are not affiliated.