Overview

We build portfolios for long-term investors. All our portfolios have a few things in common.

  • Diversification. Global diversification can improve performance and control risk.
  • Objectivity. We put the interests of clients first. We avoid conflicts of interest.
  • Balance. We balance our understanding of history and research with real-world experience.
  • Elegant Simplicity. Leonardo Da Vinci said, “Simplicity is the ultimate sophistication.”
  • Low Cost. Controlling costs and expenses allows clients to keep more of what they earn.
  • Discipline. Our well-defined process allows us to better navigate both good and bad markets.
  • Patience. Success in investing takes time. We are willing to wait for our ideas to bear fruit.

Global Explorer Series

We build and manage the Global Explorer portfolios using a core-plus-satellite approach
that combines both active and passive investment styles.


Core

Each Global Explorer core is the foundation of the portfolio and provides broad diversification among global securities markets. Each core consists of low-cost exchange-traded funds (ETFs) that track domestic and international stock and bond markets.

Satellites

We may add satellites to a portfolio to complement the core. Satellites may consist of actively managed mutual funds or passively managed index funds or ETFs. Satellites give us the possibility to add value for clients through active managers.

The goal of adding a satellite is to benefit from an asset class, skilled manager, or specialized strategy that may improve returns, create a new source of diversification, or offer additional downside protection within the portfolio.

Asset Allocation

We have defined a baseline target asset allocation for each of our portfolios that defines the proportion of equity and fixed income as well as the proportion of US and international assets. We may adjust any of these targets by plus or minus 5%.

We offer the Global Explorer portfolios at five risk levels ranging from 20% equity to 100% equity.
We also offer tax-sensitive versions of all Global Explorer portfolios.

Global ETF Series

The Global ETF portfolios are built and managed to provide low-cost access to the global securities markets
for those who prefer a purely passive approach to investing.


Passive Approach

The Global ETF series are designed for clients who prefer a fully passive approach to investing, and are built using low-cost exchange-traded funds (ETFs) that track domestic and international stock and bond markets.

Asset Allocation

We keep the composition of the Global ETF portfolios elegantly simple to minimize costs to clients. The Global ETF portfolios track a fixed asset allocation target and do not include actively managed funds.

We offer the Global ETF portfolios at five risk levels ranging from 20% equity to 100% equity.
We also offer tax-sensitive versions of all Global ETF portfolios.

Ten Beliefs Underlying Our Investment Process

  • Remain humble.  No one can predict the future. There are simply too many variables.
  • Don’t confuse likelihoods with certainties.  You can calculate probabilities, but there are no guarantees.
  • Be prepared for the unexpected.  History provides insights about the future, but it won’t repeat itself.
  • Academic research finds “truth” by looking backwards. Consider how it will translate in the future.
  • Good ideas take time to mature.  Knowing something will happen is not the same as knowing when.
  • Controlling expenses is important.  Reducing fees, transaction costs and taxes improves results.
  • It is difficult for active managers to add value. Reaping their value requires knowledge and patience.
  • Diversification works.  But it should be done intelligently to avoid over-complexity and excess costs.
  • Emotion is the enemy of good decisions.  Discipline is important. Judgment and restraint are mandatory.
  • Every portfolio has an investor attached. A portfolio is the result it produces and the experience it creates.