WHAT KIND OF INVESTOR ARE YOU?
The most successful companies build their business by starting with the customer and working their way back to design the business model. That sounds like a common sense approach but most companies build a model that works for the company, which includes creating the marketing & branding that “sells you” on why their model is the most appropriate model.
As a consumer-focused resource, I’d like to help you analyze which “investment model” is right for you so you can decide how best to utilize the information on this site for all your investment needs. There are generally 3 ways you can gain access to a brands-dedicated investment portfolio:
Through your Financial Advisor (active fund & SMA)
Direct through my partners at Accuvest Global Advisors (SMA)
As a do-it-yourself investor through this site & by doing your own research & following along on the trade log inside the blog tab
#1 - Through the Rational Dynamic Brands Fund via your Financial Advisor
Financial Advisors offer significant wealth planning services. As you age and collect more wealth, your needs get more complex and thus require more attention. Most people are not experts across all areas of wealth & financial planning so considering working with a Financial Advisor is a sound decision. I have been working with Advisors for over 25 years and understand how to assess their products and services. I am happy to help individuals find the right Advisor if they do not have one. You can reach out to me on the contact page of this site. I have significant relationships with some amazingly talented Advisors and am happy to connect you to one in your local area.
Financial Advisors build investment portfolio’s for clients by deciding each clients return requirements, risk tolerances and time horizons. The Brands Fund is available through many regional and national brokerage firms as well as through Registered Investment Advisors (RIA’s) that custody at Schwab, Fidelity, TD Ameritrade and more. The fund is also available to Family Offices, Bank Trust Departments, and is available to institutional clients. A brands-dedicated allocation will make sense to most Advisors for this reason:
THE FIRST PORTFOLIO DECISION IN AN EQUITY ALLOCATION SHOULD BE TIED TO THE PRIMARY DRIVER OF THE ECONOMY IN WHICH WE INVEST. THE DRIVER OF THE U.S. & GLOBAL ECONOMY IS CONSUMER SPENDING SO THE CORE OF YOUR PORTFOLIO SHOULD HOLD A CONSUMER-DEDICATED STRATEGY. A BRANDS-DEDICATED EQUITY STRATEGY ACCOMPLISHES THIS.
Ask your Financial Advisor if the Fund is available for purchase, symbol HSUTX
Currently the fund is available to investors at UBS, Stifel Nicholas, LPL, and through Registered Investment Advisors working with Schwab, Fidelity, TD Ameritrade and most other online brokers. There are a number of regional broker/dealers available so reach out to me or your Advisor to check for availability.
#2 - SMA-Direct or through your Advisor
Some investors like to hold individual stocks and see the activity happening real-time in their portfolios. For this investor the CORE or DYNAMIC Brands strategy is available in partnership with an SEC registered RIA in the Bay Area, Accuvest Global Advisors. The portfolio’s are available through your Financial Advisor or on an Accuvest-Direct basis. Please note, the Accuvest-Direct offering is an investment-only relationship, Accuvest does not offer traditional Financial Advisory services. If you need wealth planning of any kind, you can utilize the Brands strategies through select Financial Advisors across the country. Reach out to me via the contact form to see if the SMA is available with your current Financial Advisor.
#3: Do-it-yourself research
Increasingly, investors want to do their own research and build a portfolio that makes the most sense for them. To do this, there are plenty of tools on the Internet. In my humble opinion, all anyone needs is a core equity portfolio with high quality blue chip brands but I understand the industry wants people to build highly diversified portfolio’s using traditional asset allocation methods while implementing a combination of ETF’s, and active mutual funds as well as stocks, bonds, alternatives, and cash. I prefer a simple, focused equity strategy but we all have different approaches.
If you want to build your own portfolio by doing personal research, this site will be a great resource for the global consumer spending theme and via the 200 brands that encompass the Alpha Brands Consumer Spending Index. In the Dynamic Brands section of the Brands tab, I regularly update the earnings and opinions of my current favorites.
Sign up for commentaries & blog posts AT THE BOTTOM OF THIS PAGE for potential brand idea generation.
INVEST IN WHAT YOU KNOW…WHY? LET’S USE FERRARI TO ILLUSTRATE
If you invested $100k in Ferrari after its IPO on November 2, 2015, you’d have a little over 300k today, on September 16,2019. That hypothetical gain accounts for roughly 80% of the $250k purchase price of the average Ferrari. Investing in the most relevant, innovative brands can offer a great hedge against the spending you do on your favorite brands.
SUMMARY OF INVESTMENT OPTIONS
RATIONAL Dynamic Brands Fund - Via a sub-advised mutual fund called Rational Dynamic Brands (direct with fund company or through your Financial Advisor) Same characteristics as the Dynamic SMA below.
Dynamic Brands SMA - Separately managed portfolio - 25-50 stocks, a best-of-the-best brands approach. Risk managed with maximum flexibility to adapt to changing market conditions. Can hold up to 40% cash, swap into defensive brands, hold additional protective assets in times of high market stress. Ideal for individual investors and Financial Advisors who want their money manager to assess market risk and manage the portfolio according to the current risk environment.
CORE brands SMA - Separately managed portfolio of ~35 stocks and equal-weighted between the highest ranking growth (operating kings), value (sustainable yielders) and momentum leaders. Fully invested at all times. Ideal for individuals who want to work directly with an investment manager and for Financial Advisors who prefer to hire third-party investment manager using their wrap-fee platforms. This portfolio is fully invested at all times. Core brands clients are comfortable riding through all market volatility regimes.
CORE brands Offshore Fund - for non-U.S. investors & Advisors that have offshore clients. This fund has similar market preferences as the core brands SMA above.