1. What is relative strength investing?

    Relative strength investing is the purchase of different kinds of securities, whether stocks, mutual funds or exchange traded funds (ETFs) that are stronger than a broader index, such as the S&P 500.

  2. Why do relative strength investing?

    Different studies have shown that overtime purchasing securities that are stronger than a broader index has in the past produced returns greater than a simple buy and hold strategy.

  3. Why is protecting principal important as part of my investment strategy?

    The mathematics of losses is that you have to double what is lost just to break even. For example, if you lose 40% of your account in a bearish market, you have to make an 80% return just to break even.

  4. How is investment principal protected?

    No method can guarantee results, but I keep track of a couple of longer quantitative metrics which, historically, have tended to give warning before large drops in the market, especially during the past 20 years or so.   When both metrics go bearish, the investment posture will likely be conservative, ranging from possibly having a small to zero exposure to growth equities. Funds may be temporarily invested in safer assets, such as bonds, money funds, domestic or foreign currencies, or perhaps some equity fund tending to go in the opposite direction of an overall bearish market.

  5. What is wrong with buy and hold?

    Nothing really is wrong with a buy and hold strategy.   Buy and hold is a time proven strategy, but one which may cause larger draw downs in your investment account, and possibly less investment return than a relative strength strategy.

  6. How do you charge your clients?

    I am a fee only advisor. That means a fully disclosed set fee for my services is charged. I never receive a commission.   Thus I have no motive to place you in a high paying commission product, which may or may not be the best investment for you.   There will be no hidden fees or charges, and you will understand all such fees before opening an account with me.

  7. What are your fees for Investment Management?

    For investment management, my fees range from ½% to 1.5% of investment capital, depending on the size of the account. Fees are typically billed quarterly in advance.