Our 50+ years of collective investment planning experience was used to develop the LFG Multi-Fund Investment SystemSM, a disciplined investment system designed to capture long-term capital market returns, wherever and whenever they occur. We accomplish this by adhering to the proven investment principle of optimal diversification, which has historically resulted in higher risk-adjusted returns.
In creating clients’ customized investment plan we follow a detailed five-step process:
- Step 1: Identify Investment Objectives — Clearly defined investment objectives are essential to developing an investment plan that reflects your investment profile, including your tax circumstances, your liquidity needs, and your tolerance for risk. Your investment objectives become the key benchmarks against which investment performance is measured.
- Step 2: Develop Investment Game Plan — By applying expected rates of returns to your investment objectives, an investment game plan is developed around your investment profile with special attention to the tax implications.
- Step 3: Diversify Investments — Selecting from among five model portfolios, we seek to find the optimal level of diversification based on your investment objectives and profile. Each model portfolio combines a mix of asset classes to achieve the broadest diversification that will produce the risk-adjusted returns you need.
- Step 4: Select Money Managers — Using a proprietary rating system, we help you select from among the top investment managers, primarily no-load mutual funds, based on their track record and investment philosophy.
- Step 5: Monitor and Modify — Your portfolio is continuously monitored for performance as compared with personal investment objectives and key market benchmarks.
Modifications are made based on one- to three-year time horizons to maintain the portfolio’s asset allocation targets as well as adjust for long-term capital market and economic indicators. Your portfolio may also be modified based on your changing financial circumstances.