[ Strategy / Objective ]
To provide a professionally managed product that seeks long-term capital appreciation and income predominately in hard/real asset securities to maximize total real returns with below-market volatility. We define hard assets as investments that have physical properties and intrinsic asset value. To varying degrees, portfolio yield will be a principal factor in structuring investment portfolios. Multiplier, Accumulator and Protector will each have targeted allocations based on particular investment objectives and client risk preferences.
Investment
Thesis
Hard Assets/Real Assets have physical, intrinsic value and provide inflation protection and a hedge against easy monetary policy, unsound money and credit, in an environment characterized by uncertainty, global political instability, and other myriad risks.
Diversification/lower correlation to broader indexes – alternative strategy.
Total return potential.
A long downcycle in commodities has created attractive valuations as well as the opportunity for future sector outperformance. WE BELIEVE WE ARE ON THE CUSP OF THE NEXT MULTI-YEAR UPCYCLE
How We Define
Hard Assets/Real Assets
Global Precious Metals/Precious Metals Stocks
Global Natural Resources – base/in-dustrial metals, energy and related services, agriculture, timber, rare earth minerals.
Global Infrastructure – Pipelines, toll roads, data storage, tank farms, electricity, distribution, railways, water infrastructure, airports, marine ports, cell towers, etc. Tend to be income producing and return cash to shareholders.
Global Real Estate – specialty, niche commercial property with tight supply/ demand characteristics. Also tend to generate portfolio income.
Portfolio Construction
Risk Management
Total return – Growth and Income
Typically hold between 25-40 positions as portfolios are built out.
Combination of Value and Growth. Avoid value traps, of which there are many.
Dividends typically reinvested unless there is a client preference otherwise.
Risk Management Focus: Will strive to hedge/manage risk as market environment dictates.
Low Turnover
