Evidence-based investing is about confident investing – advancing toward the goals you’ve defined with energy to spare for the things you really want to be doing. It’s about informed action in place of hurried reaction, participating in market returns instead of chasing them, and shifting your mindset from getting rich to living a rich life.
Evidence-based investing is grounded in planning, building and managing your portfolio according to more than 60 years of robust academic inquiry into how global markets are expected to deliver available returns to patient investors. Heeding the evidence, we focus on the factors that are expected to contribute the most toward achieving your personal financial goals: Asset allocation – To best manage most of the ongoing variation in expected returnsGlobal diversification – To reduce the risks of concentrating too many eggs in too few basketsCost and behavior management – Because most investors do the most damage by incurring unnecessary expenses and reacting to misleading emotional cues.
To convert academic insights into sound portfolio management, we turn to a handful of select fund families who are committed to these same principles. We construct the core of most client portfolios using low-cost, asset-class funds from Dimensional Fund Advisors, Bridgeway Capital Management and AQR Funds. When appropriate for fixed income investors, we can turn to a distinct solution for building individual bond portfolios, customized to deliver income and/or portfolio stability according to your unique goals.