Upon initiating an account, Belvedere Group takes time and care to understand each individual's needs and concerns. We define issues of risk, fiduciary responsibility, and portfolio allocations as they apply. We work cooperatively with every new client to develop an individual investment strategy. We help the client focus on their goals and expectations, risk tolerance, and future financial needs. This Investment Policy Statement serves as the foundation for the management of their investment portfolio.
After defining personal investment objectives, the Belvedere Group focuses on quality and growth from a select universe of stocks similar to the S&P 500. By using a proprietary quantitative approach, this equity universe is screened with disciplines intact. The process begins with fundamental research involving profitability, balance sheet strength, valuation, and a unique measurement of earnings strength: Earnings Velocity. The computerized screening automatically ranks each company, and the top thirty-five candidates are examined for purchase. The Partners discuss each security and its suitability to each investment strategy. View our Equity Selection process here.
Maintaining the accounts requires a combination of daily, quarterly, and annual monitoring and comprehensive research. Security research and portfolio monitoring are very closely related at Belvedere Group. With the investment policy statement as our guide, we monitor price valuations to measure risk and reward, and analyze those valuations with our proprietary quantitative and qualitative methods. Quarterly, in-person portfolio reviews complement the monitoring and research processes by giving both the investment manager and the client the opportunity to evaluate the investment process as directed by the investment policy statement. This process continually measures the risk/reward relationship of each company compared to the entire portfolio.
Overvalued securities, companies that experience a dramatic change in balance sheet fundamentals, and those that score poorly in the screening may be sold. With this disciplined methodology, a portfolio is constructed and continually monitored.