Having a financial plan (or "Goals Analysis") is key to setting yourself up for a successful financial future. But a goal is only as good as the ability to execute on it. That's where our investment strategy comes in. The GWS Investment Committee puts in hours every day staying on top of the latest market research, methods, and trends, so we help put your money to work for you.
View the video below to hear from our CIO, Aaron Tuttle, about what sets the GWS Investment philosophy apart.
As you heard in the video, GWS takes a highly data-driven, research-based approach to working toward maximizing your returns. Below are the core tenets our investment committee follows, as well as what that means for your money.
Don't Fight the Fed
When the Federal Reserve is supporting the market, it’s wise to stay in it long-term.
Don't Confuse the Market with the Economy
Even when the economy is hurting, remember that the market is forward-looking. It’s going to turn before anything else.
Momentum works on the Downside, too
Relative to the market, our goal is to go up more quickly and down more slowly. By accurately defining momentum (as excess return, not simply beta), we can measure that effect and move to those assets.
Go for Growth with Preservation
There are growth companies out there that still have solid, quickly-growing earnings. Just because a young company’s profits are low now doesn’t mean future earnings are levered to current economic risks.
High Prices don't Solve High Prices
To make investors question the price, there must be a catalyst. Something fundamental has to change. Otherwise prices will continue to go up (think Bitcoin).
Rebalancing is like Watering your Weeds and Trimming your Flowers
Momentum, which says whatever's done well is likely to continue to do well, is a well-known phenomenon within Modern Portfolio Theory. We use our proprietary GWS measurement tools to determine how that price action is changing.
Long-term investing requires keeping fear in check and grounding your optimism in rationality. The standard of living for people worldwide is rapidly increasing as billions enter the global middle class and emerge from poverty. There is a lot to be hopeful about in our future! It is not all doom and gloom.
We are living amid a tremendous age of technological revolution. Embracing this era's opportunities is essential: Deep Learning, Artificial Intelligence, Virtual Worlds, Digital Wallets, Electric & Autonomous Vehicles, Automation, Drones, Privatization of Space, 3D Printing, Genomic Research, and Therapeutic Breakthroughs, and more!
To learn more about our investment philosophy at GWS, be sure to subscribe to our YouTube channel!