Investment Management

Discretionary Investment Management is available on a retainer basis freeing you of the burden of research, watching the markets, and making investment decisions. We typically manage investments only after a Roadmap for Retirement has been created, but in limited cases we may accept an engagement for Investment Management services only.

Management Fee

0.25% quarterly            up to $1,000,000 under management
negotiable                    on assets over $1,000,000

The fee covers discretionary management of your investment portfolio(s) using a tactical asset allocation approach rather than static portfolio models. We also provide additional benefits to management clients at no extra charge, such as:

  • Portal access where you can monitor multiple household accounts from one spot
  • Convenience of periodic review with us at your home or office for local clients (by phone or online for distant clients)
  • Routine updates to previous Retirement Planning conducted with us
  • Ongoing access to us for questions (email/phone)

The fee is a percentage of assets under management and payable at the end of each quarter. $250,000 minimum asset total for discretionary Investment Management. Minimums and service format may be negotiable on a case-by-case basis. Third party fees such as fund expenses or transaction charges are separate from the management fee charged by SecondHalf.

INVESTMENT PHILOSOPHY & APPROACH

Our top investment priority is managing portfolio risk. But everyone claims that, so what does that actually mean?

While we trade infrequently, we tactically manage your asset allocation, attempting to avoid large capital losses but still capture a reasonable amount of financial upside when market conditions are appropriate. This may involve shifting among stocks and bonds, increasing cash allocation, trend-following trading, using stop-loss orders to protect the downside, or using options to hedge against losses or potentially capture gains.

Traditional approaches to wealth management are based on Modern Portfolio Theory and the Efficient Markets Hypothesis which assume: (1) risk is defined as fluctuation in the value of your investments, (2) investors are rational, and (3) there is no such thing as an overpriced or underpriced investment.

In our view, those are silly notions that have no basis in reality.

Financial markets will experience abnormal conditions, government and central bank policies can distort asset prices and contribute to so-called financial “bubbles,” and investors are always prone to swings of fear and greed. These environments create both opportunities and threats and warrant a nimble, tactical approach to portfolio management.


Let's talk about your Investment Portfolio