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1207 S. Austin Brenham, TX 77833 1-800-830-7085 |
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Our Three-Step Investment Process Maximizes Long-Term Success
Achieving all of your goals requires dedication, skill and discipline. This is particularly true when it comes to attaining financial objectives.
The likelihood of achieving success in your investment strategy is greatly improved by adhering to a disciplined investment process.
Our Three-Step Investment Process is a proven framework for identifying, analyzing, and implementing investment opportunities.
The Three-Step Investment Process
| Personal Financial Analysis | 1. | Determines Financial Goals |
|---|---|---|
| Asset Allocation | 2. | Pre-determines Trade-Off of Return and Risk |
| Portfolio Selection | 3. | Implementation of Selected Policies and Guidelines |
CIMI's Value Oriented Approach
Individual investments are driven by a disciplined approach emphasizing value as opposed to growth. Value stresses selected financial metrics to reflect the private market value of a company. Any approach is subject to risk; however, value stocks exhibit superior reliability over growth stocks with less volatility.
Value stocks have proven superior to growth for seven of the past ten years.
Growth vs. Value*
*Source: Russell; FactSet Research Systems; Bear, Stearns & Co. Inc.
Portfolio Structure
CIMI pursues a fairly eclectic approach to portfolio structure that follows a goal of diversification as a means of minimizing overall risk to the investor.
Why Diversify a Portfolio?
No particular segment of the market wins all of the time. Sometimes growth outperforms value and vice versa. Large company stocks may outperform mid-sized companies and there are times when certain conditions provide superior returns in small and developing businesses. Value can be created by market dynamics from time to time and this is where the value approach provides opportunities. By allocating capital into differing asset classes, diversifying and choosing companies with superior attributes will, over a reasonable time frame, assure a favorable investment result.
Diversification also means spreading risk over an entire array of industrial product and service sectors which is driven by a macro thematic approach that seeks opportunities that occur due to the inevitable changes that are constant in a global economy.
