If we lived in a world with an infinite time horizon and no expected withdrawals from an investment portfolio, we could render the consideration of volatility risk and drawdown capture inconsequential. However, we live in the real world, where investment portfolios are expected to produce distributions. While the intent of a well-constructed portfolio is to […]
Robert Balentine was recently a featured guest on the “School for Startups” radio show. In this interview, Robert discusses Balentine’s fee-only, transparent approach to investing, Balentine’s risk-based investment philosophy and the importance of culture in an entrepreneurial business. Click here to listen to Robert’s full interview.
Adrian Cronje, Balentine’s Chief Investment Officer, shared thoughts on portfolio shifts with the Wall Street Journal in the article, “Cyclicals Lead, Advisers Weigh Portfolio Shifts.“ From “Cyclicals Lead, Advisers Weigh Portfolio Shifts,” in the May 20 edition of the Wall Street Journal: “Mr. Cronje has taken steps to trade against that instinct. At the end of 2012, at […]
“Puzzling Behavior,” from the April 4, 2013 issue of Financial Advisor Magazine, discusses asset allocation and how investment advisors actually construct portfolios: Balentine’s interpretation of asset allocation “truth” starts with five basic building blocks. “Instead of thinking of 30 different asset classes to build portfolios, we group asset classes by risks that matter,” says Cronje. Each […]
“If you can keep your head when all about you / Are losing theirs and blaming it on you …” ~ Rudyard Kipling, “If” This rhetorical questioning has certainly resonated over the last six months. Just as we found ourselves soothing fears that the world was not ending through politicians driving us over the “fiscal […]
Academics, economists and thought leaders in our industry agree: diversification across traditional asset classes simply is not enough to grow – or even sustain – assets over the long term. At Balentine, we use a distinctive Building Blocks approach to asset management to help bridge the gap between what is possible in the markets and […]
As Balentine has articulated over the years, proper liquidity management should not be taken for granted. While a seemingly innocuous subject in the world of public equities, variable rate fixed income securities, hedge funds, commodities and derivatives, failure to prepare for distributions can lead to undesirable outcomes for an entire portfolio. Portfolio distributions – fixed […]
For the past 10 years, Americans have enjoyed historically low tax rates. The Bush-era tax cuts passed in 2001 and 2003 created a six-tier tax bracket based upon personal income levels and a relatively low capital gains/qualified dividends tax rate. In 2008, investment and accounting professionals began discussing what to do when the 2001 and […]
Portfolio rebalancing is the process of bringing a portfolio that has deviated from a target allocation back in line. The prevailing notion for much of the investment industry has been to set and then forget an investment portfolio and only rebalance on a regularly scheduled basis, either monthly quarterly or in some cases yearly. Despite the fact that this has long been the industry standard, in the current low-return environment, this “set it and forget it,” autopilot strategy simply is not good enough.
“Though each client is unique, certain trends emerge among generations,” says Brittain Prigge, director of relationship management at Balentine, an Atlanta-based independent investment advisory firm.