As a fiduciary, we must act with the care, skill, prudence and diligence under the circumstances then prevailing that a prudent man acting in a like capacity and familiar with such matters would use in the conduct of an enterprise of a like character and with like aims. [ERISA § 404(a) (1) (B)]
We believe that when you measure yourself against a set of fiduciary standards, you have an obligation to clearly define and exceed them.
Encarta® World Dictionary defines risk management as an "analysis of possible loss: the profession or technique of determining, minimizing and preventing accidental loss in a business, e.g. by taking safety measures and buying insurance."
We are more granular in our thinking. We define and measure risk from our client's point of view.
The prevailing thought in modern finance is that over ninety percent of the variability in investment policy returns can be explained by asset allocation.
In our opinion, modern finance should be a dynamic process employing dynamic thinking. We utilize a multifaceted asset allocation approach in our portfolio construction process. What asset classes are you utilizing to maximize your policy benchmark objectives?