Portfolio Management
Investment Management
Investment management should connect portfolio construction and implementation to the specific job the capital is expected to perform.
Framework
A portfolio is a tool, not an objective
The portfolio exists to support a financial purpose. That may include long-term growth, retirement income, liquidity, capital preservation, philanthropy, a future purchase, or multiple goals across different accounts. The investment process starts by defining those responsibilities before choosing exposures or securities.
Strategic Allocation
Set long-term exposures based on objectives, horizon, liquidity, risk capacity, taxes, and the role of each account.
Security and Vehicle Selection
Evaluate individual securities, ETFs, funds, fixed income, cash vehicles, and other eligible investments for fit, cost, liquidity, transparency, and implementation risk.
Risk and Tax Management
Monitor concentration, drawdown exposure, duration, credit, realized gains and losses, account location, and opportunities for tax-aware implementation.
Rebalancing and Oversight
Use documented rules and judgment to keep the portfolio aligned as markets move and client needs change.
Approach
Discipline matters most when the environment changes
Portfolio management requires a framework strong enough to survive volatility but flexible enough to incorporate new evidence. That means separating strategic objectives from short-term market narratives and documenting why a material portfolio change is made.
- 01Define the objective
- 02Measure the current position
- 03Compare practical alternatives
- 04Implement and review
Frequently asked questions
Questions worth answering clearly
Do you use a single model portfolio for every client?
No. Portfolio implementation can use models and standardized research, but the appropriate allocation and account implementation depend on the client’s objectives, constraints, taxes, liquidity, and other circumstances.
How often are portfolios reviewed?
Portfolios are monitored on an ongoing basis, with formal review and rebalancing driven by the mandate, material market changes, cash flows, and changes in client circumstances.
Are investment returns guaranteed?
No. All investing involves risk, including the possible loss of principal. No strategy can guarantee a particular return or prevent losses.
Next step
Start with the decision you need to make.
Use the Global Advisers contact process to discuss fit, scope, and the appropriate next step.
