Portfolio Management
Unless you looked in the mirror this morning and saw Warren Buffet staring back at you, asset class investing will greatly enhance your quality of life. Most investors place more emphasis on hope than reason.
The vast majority of mutual fund managers, professional money managers, and stock pickers consistently underperform simple index funds. You pay dearly for this "underperformance" by way of added fees, taxes, and lagging returns. How Are We Different?
Asset class investing allows you to take the superior performance of indexing and enhance it further. It is estimated that almost 50% of institutional money is invested utilizing these strategies. Yet only 10% of individual investors are reaping the rewards of this tried and true strategy. The evidence is irrefutable, the benefits are clear. The time you spend on this website will change the way you invest forever. If you don't make these changes with us, please make them with somebody.
Allied Portfolio Management is strongly committed to structured asset class investing. After almost 15 years with major Wall Street brokerage firms, it has become obvious that those who implement this strategy are well ahead of their peers. Structured indexing is the investment discipline of choice by the brightest minds and the most sophisticated institutions in the investment world. There is great peace of mind in knowing that you have done all you can do to secure your financial future. Learn more about our Investment Philosophy and Beliefs
The Prudent Investor Rule was written by the American Law Institute as a guideline to ensure the prudent management of trust assets. In 1992, due to the overwhelming evidence of the benefits of Modern Portfolio Theory and structured asset class indexing, the American Law Institute rewrote The Prudent Investor Rule. The new language clearly recognizes the advantages of Modern Portfolio Theory and acknowledges the poor performance of active managers versus the passive indexes.
Investment Underperformance
Calculator
We created this calculator to help quantify the wealth-robbing mistakes that most individual investors unknowingly commit. Study after study yields the same undeniable conclusion: the efforts of stock pickers, professional money managers and Wall Street analysts are futile. This interactive tool allows the user to personalize the costs of this unnecessary expense.
We’re sure the following applies to none of our readers. The 2008 Dalbar, Inc. (one of the largest independent financial services research firms) study found that for the 20 year period ending December 31, 2007, the average equity fund investor would have earned an annualized return of just 4.48%, thus underperforming the S&P 500 by more than 7% per year. Investment return is far more dependent on investor behavior than fund performance. Use the calculator above to compute the cost of lagging the market by only 1.5%, 2.5% or 3.5%.