Mutual Fund:INVESTMENT Process

Step 1: Financial Analysis
Providing sound investment advice begins with establishing the client’s current financial position. An Advisor should profile the client based on their investment time horizon, liquidity needs, desired rate of return objective and tolerance for risk. The result is a written Investment Policy Statement, which summarizes the client’s objectives and assists the Advisor in determining how to proceed in their best interest.

Step 2: Asset Allocation
According to respected academic studies, over 90% of a portfolio’s performance is determined by the asset allocation decision - the diversification of funds across multiple asset classes to meet a target level of return at an acceptable level of risk.

Step 3: Asset Allocation Strategist Selection
Once an Investment Advisor has determined which approach to the allocation decision (strategic, tactical or a combination of both) makes the most sense to meet the client’s objectives.

This Multi-Strategist approach has been widely accepted by Advisors because of its appeal to prospective clients and because it allows Advisors to replace asset managers who may underperform expectations without having to completely re-position assets into another investment program.

Step 4: No-Load Mutual Fund Selection and Implementation
In implementing asset allocation decisions using no-load mutual funds,Strategists should have an outstanding set of resources within their reach.

Step 5: Portfolio Monitoring and Rebalancing
Market forces continually impact the underlying value of the asset classes in client portfolios. Strategists should continuosly monitor these market shifts and periodically rebalance portfolios to ensure that they remain consistent with their asset allocation policies, including re-allocation of funds between asset classes in our tactical models.

Step 6: Reporting
To keep clients informed, confident and in control,Strategists should provide an extensive reporting system. Clients receive monthly brokerage statements, quarterly full-color performance reports and year-end tax reports, all of which are easy to read and understand.