How Our Six Step Process Works for You

 
Six Step Investment Process
 
Step 1  Establish Goals 
 
We work with you to clearly define your objectives.  We go beyond the numbers to learn about your life goals and aspirations.  Understanding more about who you are, your family, and your values differentiates Shakespeare, and helps us achieve your goals.
 
Step 2  Gather Data
After we learn about you, your family, and your goals, we need to understand your finances.  To accomplish this, we analyze your recent Tax Forms, Net-worth Statment, Estate Planning Documents, Investment Statements, Insurance Information, and other critical information.  
 
Step 3  Asset Allocation 
 
The guiding principle of our investment philosophy is asset allocation. 
Academic studies conducted over the last twenty years have shown that the asset allocation decision is the most important variable in determining the return from a portfolio of securities.  This means the percentage of your assets invested in stocks, bonds, real estate, cash, etc., will far outweigh the effects of individual security decisions and market timing.  Appropriate asset allocation and a strategy for discipline continue to be our formula for success.
 
Step 4 Asset Selection and Diversification 
 
Once your asset allocation is determined, we develop a portfolio which is designed to both enhance returns and control risk.  This is accomplished by selecting the best investment vehicles in each investment category while diversifying your portfolio among investment styles and industry sectors.

        INVESTMENT STYLES
LARGE
VALUE		 LARGE
BLEND		 LARGE
GROWTH
MEDIUM
VALUE		 MEDIUM
BLEND		 MEDIUM
GROWTH
SMALL
VALUE		 SMALL
BLEND		 SMALL
GROWTH
 

Step 5 Monitor, Manage and Rebalance your Portfolio 
  • Monitoring & Managing Market forces and economic conditions are constantly changing, which can directly affect your asset mix and prompt the need for change.  Managing your investments takes discipline, time, and focus.  It is our job to always be on watch for you.  It is our commitment and responsibility to continually monitor your investment portfolios and make changes when needed. 
  • Rebalancing Since asset allocation is not a one-time event we periodically rebalance your portfolio in order to enhance performance and reduce risk. Rebalancing is a management protocol in which, at the end of a certain period (annually, for example), the amount of money in each asset class within your portfolio is brought back to a predetermined percentage of the total portfolio. Rebalancing forces one to periodically sell high and buy low.  By setting a pattern of rebalancing, you become accustomed to taking profits from winners and depositing them into investments poised for growth.
  • Tax Management We realize that it is the after-tax rate of return that is what concerns you most.  Shakespeare works hard to minimize the effect taxes have on your portfolio.  This is accomplished in part by strategically offsetting gains and losses as well as utilizing tax efficient investments.

Step 6   Reporting 

At Shakespeare, we strive to keep you informed and in control.  We provide you with clear, ongoing communications.  As a client, you will receive:

  • Monthly Custodial Statements
  • Quarterly Performance Reviews
  • Year-End Tax Reports
 
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