November 13, 2012
Balancing your Fixed Income Decisions
We frequently discuss the equity component of your portfolio and it's important to keep the fixed income portion in mind, too.
As you know, our investment philosophy is to take risk on the equity side of your portfolio while fixed income serves as the "anchor" for when equity markets are rocky. Sure, you can pursue high returns with fixed income. But as we frequently remind you - risk and return are related, and with higher risk comes higher volatility.
Below is a nice article from Dimensional Funds about deciding what the role of fixed income is in your portfolio and how this influences your choice of the type of fixed income to have (see link below). We thought you might appreciate this for our discussions about your fixed income.
Please let us know if you have any questions about this, and thank you again for having us be your financial advisor!
“Very happy with their service…exceptional…”
“They are very loyal to their clients”
“Conservative, ethical and wonderful to work with”
“They are there when I need them”