Investment Management

While we love to work with individual stocks, bonds, options, ETFs and closed-end funds, a prudent investment decision process forces us to recommend mutual funds and exchange-traded index funds as a cornerstone to every investment portfolio. This is how the largest and most sophisticated pension funds manage their money. Individual stocks have their place, particularly in larger portfolios, but no one position should exceed 5% of an investor's investment assets. We will work with your existing equity holdings to integrate them into our diversified and prudent portfolio designs.

While institutions have followed a disciplined approach to investing, individual investors have typically been less structured about achieving their goals. At Noyes Capital, our goal is to deliver institutional-grade investment practices and guidance to individual investors. Our approach is to build an investment process around an Investment Policy Statement (IPS) that focuses on your investment objectives, your time frame and your comfort with risk. This philosophy is designed to achieve long-term investment goals, and is based on five core principles.

1. Identify Your Unique Needs and Objectives: We perform a careful assessment of your individual needs and aspirations, and evaluate you based on your investment time horizon, liquidity needs, desired rate of return and tolerance for risk. We determine any asset class or security preferences you may have and analyze your investment "attitude." The result is a complete understanding of your personal profile that will serve as the foundation for defining a long-range investment strategy tailored to your specific needs and preferences.
2. Build an Asset Allocation Roadmap: We analyze your long term financial goals, risk tolerances and stage of the business cycle to assess the asset allocation strategy for every portfolio. We create a strategic long term asset allocation for your portfolio to ensure suitable diversification and flexibility. Next, a limited range around the long term asset allocation is created which allows Noyes Capital the flexibility to both protect your assets optimize your returns over time. Combined, this process delivers a detail blueprint for the investment plan.
3. Formulate an Investment Policy Statement: We work with you to develop an appropriate overall plan. We document this plan in a formal Investment Policy Statement (IPS), thereby assuring that all parties know and agree on investment goals, objectives and parameters. Your IPS will focus on issues such as risk tolerance, return objectives, time horizon, cash flow needs, terminal value goals, legal and regulatory requirements, taxes and other client-specific parameters. A separate policy statement may be appropriate for each investment vehicle, including trusts, foundations and family limited partnerships.
4. Select Premier Asset Managers who know the Markets: Once the IPS and asset allocation decisions are finalized with the client, we apply a rigorous Manager Selection process. Noyes Capital performs extensive research on mutual funds and institutional investment managers, which allows us to quantitatively and qualitatively identify the best match for your investment objectives. Our goal is to identify those managers we believe have sustainable track records of consistently outperforming their respective benchmarks (net of fees and taxes), without taking unjustifiable risk. Managers are selected for each asset class based on their performance and their "fit" within your overall portfolio plan.
5. Continuous Portfolio and Manager Monitoring: Once your portfolio strategy has been implemented, we begin a review process to confirm that your portfolio continues to meet its objectives. Ongoing due diligence of the managers in the program ensures that they adhere to the philosophy and investment style for which they were selected. We also monitor portfolios for imbalances that may arise as the market shifts to favor a style or asset class. We will use our limited asset allocation discretion over the course of the year to both defend against market risks and maximize market opportunities during the course of the year.