- 1Unlike many other investment advisers, we manage the majority of our clients’ assets in-house. By doing so, we not only meet performance expectations but also reduce incremental costs associated with engaging third-party asset managers.
- 2We believe investment opportunities exist beyond stocks and bonds. We manage risk allocations across both public and private investments, including opportunities in private equity, private debt, real estate, farm and timberland investments, minerals, currencies, and even cryptocurrencies.
- 3We believe that tactical investments and security selection are important, yet we believe that strategic asset allocation decisions are the most important. Furthermore, we believe these decisions should be backed by a comprehensive financial plan which includes taking into consideration titling, structure, and asset location.
- 4There is always a tradeoff between risk and return. If it appears too good to be true, it is. You have simply failed to identify the underlying risk. Marketers do a great job of hiding the risk. Often, we need to search for risk beyond the market risk (i.e., operational risk, counterparty risk, liquidity risk, etc.).
- 5We believe the most comprehensive way to measure performance for the taxable individual is on a risk-adjusted, after-tax basis. While tax impact shouldn’t dominate the decision process, it should always be explicitly considered.
- 6There should be no surprises in your core fixed income allocation, and that means stability, low volatility, and predictability.
- 7We believe public markets are fairly efficient and that the core liquid portion of a client’s allocation should be in a low-cost and tax-efficient set of strategies. Peripheral allocations based on tactical positioning may entail higher fees occasionally and should only be made if the additional costs are justified by a greater likelihood of achieving one’s goals. Additionally, an investor should get compensated appropriately for taking on illiquidity.
- 8We believe in goals-based investing, targeted to achieve the desired objectives with the least amount of risk.
- 9While investment acumen is crucial, our true value lies in providing emotional distance and discipline throughout the investing process. We develop an Investment Policy Statement for each portfolio to guide our decision-making process and establish a consistent and logical framework for managing investments.
- 10We believe our investment perspective should be shaped within a logical macro world view that allows us to add value to clients’ portfolios via intermediate – to long-term themes and factors, supported by our best thinking and confirmed by our model discipline.
At Fidelis, we are built to serve successful individuals, multi-generational family offices, business owners, charitable organizations, and institutions.
As fiduciaries, we always put our clients first. We strive to remove potential conflicts of interest to act solely in the best interest of our clients, delivering optimal and impartial solutions tailored to their unique needs. The only returns that matter are those that are after fees, taxes, and expenses. Our investment philosophy draws upon our over 200 years of real-life experience, guided by some of the industry’s most accredited and experienced professionals. This extensive experience has shaped the following ten core principles: