At Balentine we have long extolled the importance of keeping a strategic liquid reserve (Cash) in investment portfolios. Balentine believes that Cash should be considered an asset class because of three distinct roles it plays within a portfolio: risk management, opportunity management and liquidity management. The idea of a risk first approach to investment with an emphasis on immunizing spending needs is gaining in popularity in our industry. To that end, CFA Institute Magazine recently published “The Case for Cash,” written by David Damiani, Balentine’s Director of Risk Management in its Viewpoint column. His article explains the reasons to consider Cash as important and distinct asset class within an investment portfolio.
Click here to read David’s article from the CFA Institute Magazine, “The Case for Cash.”