These parameters (goals) are essential for developing a strong foundation and seeking wealth preservation and growth. We begin by formulating a risk budget . This budget is designed to provide a floor at which the investor is removed from any additional risk due to market fluctuation. This proactive approach helps protect the investor from massive fluctuations in the market and quick downturns like the one recently experienced in 2007 and 2008. Our clients were successfully moved to predominantly cash in 2008.
Marketable securities (such as stocks and bonds) form the core investment vehicle for most accounts because they may offer liquidity, tax deferral potential, diversification, and readily measurable returns.
Alternative investments (such as real estate, oil and gas, and venture capital) may also be appropriate for many investors. They offer the opportunity for diversification and higher potential returns, although they may be illiquid and carry proportionately higher risk. Oracle Capital Strategies
has developed internal capabilities and external contacts to access these investment areas.
Many of our clients prefer to avoid broad swings in performance. Oracle Capital Strategies
’ investment approach includes a volatility analysis in setting performance goals. A carefully balanced, diversified combination of equity styles may reduce volatility without sacrificing return.