ADVICE LEADS THE WAY

Investment Management Approach

Investment Strategy

Our aim is to create diversified portfolios that earn favorable investment returns while reducing volatility and risk according to the parameters of each client’s chosen investment model. We work to achieve strong performance over multiple market cycles, relying on the application of a proven investment process that is consistently applied. We adhere to an investment philosophy that values both vision and discipline and favors a buy and hold investment approach. We do not believe that long-term goals can be met by chasing short-term results. Instead, we focus on the larger picture while remaining mindful of the current environment.

We Start By Getting To Know Our Clients

BWFA’s advisors evaluate a client’s financial goals, financial situation, income needs, tax circumstances, and investment risk tolerance. Based on these factors, we design, construct, and implement an investment portfolio appropriate to the client’s specific needs and goals. The portfolio we construct for the client conforms to the BWFA investment model chosen by the client in consultation with his/her BWFA Portfolio Manager.

Two Investment Approaches:

SEPARATELY MANAGED ACCOUNTS

For clients with managed accounts in excess of $500,000, BWFA has designed model portfolios that can hold individual stocks and bonds as well as collective investment funds (mutual funds and exchange-traded funds) that target specific allocations within the investment model. By investing primarily in individual securities, clients receive a customized portfolio with the following benefits:

~Lower costs due to minimization of the additional fees associated with investing in collective funds

~Consideration of tax planning issues allowing us to:

  • Optimize the tax treatment of securities transactions 
  • Determine whether securities should be placed in taxable or tax-deferred investment accounts

~ Complete control over when securities are brought and sold and which securities are held, providing:

  • The ability to accommodate special investment requests
  • The ability to minimize/ eliminate the redundancy that can occur when using collective investments

~Transparency 

  • Clients know the exact securities held in their portfolios 

~Allocation around existing concentrated positions, thus better managing risk:

  • For example, a portfolio manager can avoid purchasing energy-related securities for a client that works for an oil company and already has significant investment exposure to that industry

WEALTH ACCUMULATION PLATFORM 

BWFA generally recommends this approach for clients investing up to $500,000.  Our wealth accumulation platform uses model portfolios that are primarily invested in collective investments such as index funds, actively managed mutual funds, and exchange-traded funds. We believe these investment alternatives provide the necessary diversification to control risk at a reasonable cost.

 

Our Investment Philosophy And Approach

We utilize a bottom-up, value-based, fundamental research approach. We endeavor to select those securities that we believe represent the most attractive opportunities for our clients over the long term. Read more here.

 

Our Research Process

Potential investment opportunities are identified utilizing a variety of sources and methods, such as research we perform on other investments (that leads us to consider competitors, related industries, etc.), our investment and economic outlook, and quantitative assessment (based on fundamental factors, such as earnings, cash flow, margin analysis, balance sheet strength, etc.). We may also seek companies that we believe are well-positioned to benefit from our long-term investment outlook. From time-to-time, we may also perform screens emphasizing characteristics of well-managed, attractively valued and financially strong companies. Read more here. 

 

Investment Committee

Our Investment Committee has significant knowledge and extensive industry experience. Our team of Portfolio Managers work as a team with the Chief Financial Analyst in a collaborative approach. Their dedication and commitment over the years has navigated difficult markets with steadiness and skill. Our professionals carefully consider and evaluate proposed investments for their potential for capital appreciation and dividend return while minimizing risk.

 

Manage Our Clients’ Wealth

Our Portfolio Managers provide ongoing oversight and management of our clients’ investments in accordance with the Investment Committee’s analysis of current economic and market conditions. BWFA’s portfolio managers make changes in a client’s portfolio only when they believe the changes will benefit the client. Because BWFA receives no compensation for making trades, advisors can act in the best interests of their clients.

 

Investment Models

BWFA offers different investment models in order to meet the needs and goals of individual clients.