If you are faced with making a decision about a particularly complex investment product, such as one with an esoteric strategy or a lack of available public information, it is important to do a detailed investigation of it, usually including onsite visits with the principals involved. Proper due diligence takes time and may seem expensive, except in relationship to the costs that would occur due to an error in judgment on a sizable holding.
We have extensive experience in evaluating how investment professionals make decisions. That experience allows us to identify potential risks involved in investing in a particular product and to assess the likelihood that its managers can live up to their stated goals. As with any investment endeavor, there are no guarantees, but focusing on the process used by an investment manager rather than his or her past performance usually yields a firmer foundation for portfolio choices.
We can also evaluate how you and your advisors make investment decisions. Do the advisors you use, the instructions and restrictions you give them, and how they approach their responsibilities make sense for what you are trying to accomplish? A disciplined review of the entire process can improve your chances of success.
