The Growth Equity strategy seeks long-term growth of capital. The benchmark for this strategy is the S&P 500, an unmanaged index of 500 U.S. stocks. This strategy is driven by the conviction that earnings drive stock prices over time. By researching companies with growth prospects and focusing on stocks trading at reasonable multiples of future earnings, we strive to achieve superior results without incurring excessive risk. This style of investing is referred to as Growth at a Reasonable Price or GARP. Technical analysis is employed to assist with the timing of a trade or to uncover broader market trends. Portfolios are invested in companies in diverse industries to ensure proper diversification. Returns are enhanced through individual stock selection and industry weightings. Exchange Traded Funds (ETF's) and mutual funds may be used to increase diversification, invest in a particular sector or protect capital.
The Growth Equity strategy may be appropriate for investors with a 3-5 year minimum time horizon and moderate to high tolerance for risk.
Our Enhanced Income strategy seeks high levels of income with secondary consideration given to growth. The benchmark for this strategy is the Merrill Lynch U.S. Corporate & Government Master bond index. Enhanced Income actively searches for opportunities in the taxable bond universe including U.S. Treasury and agency obligations, mortgage-backed issues, corporate bonds, asset-backed securities, zero coupon issues and cash equivalents. This strategy is managed to maintain an average investment grade credit rating. Average credit quality may rise or fall based on macroeconomic conditions and yield spreads. Several techniques are employed to enhance returns and minimize volatility including an actively managed duration, employing a "credit barbell" when market conditions warrant, swapping between various sectors of the taxable bond universe, analyzing bond indentures and credit analysis.
This strategy may be suitable for investors with an income need and low to moderate tolerance for risk. An appropriate minimum time horizon is 2-3 years.
Our Tax Exempt Bond strategy strives to earn a high level of tax-exempt income for participating clients by investing in quality municipal bonds. Returns are compared with the Merrill Lynch 1-12 Year Municipal Bond index. For reasons of diversification, this strategy invests in bonds across the country, however, emphasis is placed on Massachusetts issues. This strategy attempts to enhance total returns by managing the duration of bonds in the strategy, analyzing the indenture of individual municipal bonds and swapping between various sectors of the tax exempt bond universe. Quality and liquidity are emphasized in selecting individual bonds.
Investors in the highest federal tax brackets with a low tolerance for risk and a 2-3 year minimum time horizon may be suitable for this strategy.
