Asset Classes

Equities generally form the foundation of a properly diversified portfolio. We consistently work with independent investment advisors that select a blend of portfolio equity assets to reflect a client's desire for diversification. Those equity assets are either direct single-purchase equities, actively or passively mutual funds or exchange traded funds or a combination of funds and single-purchase equities. Further, the proper selection of those assets will deliver competitive or superior returns in bull markets and offer a buffer of protection against loss in bear markets. We confer with independent third-party investment managers that focus on high-quality growth stocks and that have access to meticulous research capabilities that can identify market inefficiencies that a client can use to generate additional portfolio profits.

Our preferred investment managers are also committed to peak execution, are positioned in all major international financial hubs, and are experts in equity asset management strategies that are guided by both quantitative and fundamental data.

Managers that use a quantitative approach will assign a factor weight to an equity asset as a function of data that form the asset’s profile. They adjust that weight as the stock evolves and reacts to internal developments and external market forces. A factor weight that is based on a wider selection of data delivers a broader picture of the equity asset and allows a manager to better manage portfolio risk. The most effective managers will assess variable exposures in view of fundamental indices (including market-cap-weighted S&P indices) and investment funds to offset price and performance parameters.

We look for managers that combine this quantitative approach with fundamental research and analysis that draws upon investment research from multiple global resources to identify stock and market trends and opportunities and to manage risk exposure. Those managers should also deliver top-down active management advice, complete performance metrics, and deep fundamental analysis to provide the competitive edge that our clients seek regardless of market volatility.

Many investors avoid bonds and other fixed instrument debt assets because of their generally low yields and returns. Astor Asset Management has formed relationships with independent financial advisors that incorporate fixed income debt instruments into portfolios to create a predictable diversifier and to provide opportunities to leverage increased diversification with a potential for long-term growth. Those instruments might include government, corporate, and municipal bonds, CDs, bond ETFs and mutual funds, and money market funds.

The advisors in our relationship network further develop strategies to leverage fixed income instruments as a function of their knowledge of specific industry sectors, countries, and investment styles. These strategies will invariably identify the most advantageous fixed income debt assets for a client’s unique portfolio. We maintain relationships with advisors in a global network to uncover potential opportunities within the fixed income sector that provide the optimum balance of risk and reward. Their foundational approach, combined with solid fundamental analysis of all publicly-traded fixed income instruments, delivers a competitive advantage that investors will not find with more traditional fixed income investment strategies.

Client engagements generally commence with meticulous analysis of a client’s needs. That analysis will determine if an investment manager has the optimum profile to provide the services that a client needs and wants. In certain instances, for example, a client will prefer to consult with a registered and licensed financial advisor in the client’s jurisdiction. We always seek third-party advisors and investment services firms that are sensitive to a client’s specific investment objectives. Where the client's wealth management plan and strategies call for fixed income assets, we recommend advisors that have the expertise to use bonds to leverage growth, generate steady income, and control portfolio risk. Last, we refer clients to advisors who take a long and informed view and that do not base their fixed income strategies on chasing the latest trends. The most successful investment strategies are driven by carefully formed plans that serve the needs of multiple generations. The advisors in our referral network provide a workable fixed income strategy that meets a client’s long-term financial objectives.

The popularity and appeal of alternative investments have risen steadily in popularity over the past few years. We perceive our high net-worth investors turning to these investments for their superior growth and tax advantages and their potential to outperform more traditional investments. The investment advisory industry has noted that pension plans, insurance companies, and private endowment foundations are looking to alternative investments as a counterpoint to the equities and debt instruments and as a hedge against external economic forces that can have a greater adverse effect on stocks and bonds than they do on alternatives.

Alternative investments can provide investors with a way to balance portfolio risk while achieving higher returns than may be available with stocks and bonds. The independent investment advisors in our network adopt a similar perspective and use alternatives to add balance to an investment portfolio. In addition, alternative assets such as private equity, managed futures, real estate, commodities, hedge funds, and derivatives can provide financing collateral and give clients an opportunity to tap the excess liquidity in their portfolios.

We encourage our clients to consult with advisors that employ state-of-the-art technology that is integrated with top-quality research to avoid excessively volatile offerings. This strategy gives clients a better chance to focus on long-term stability and to reap novel tax advantages from alternative investment offerings.

Investment advisors specializing in a multi-asset approach can create portfolios that focus on preserving capital when the markets become volatile and achieving superior returns when markets are in bull territories.

Our financing and liquidity services work well with multi-asset investment strategies in all types of markets. An optimal multi-asset strategy will be layered with fundamental, technical, quantitative, and macro analysis that investment advisors deliver in major international financial markets who understand multi-asset challenges. Those advisors often apply a substantial amount of additional research in their quest to provide stability and additional alpha to a client’s portfolio. Our financing and liquidity services can then form a key component of an overall multi-asset strategy that utilizes a foundational approach across all asset groups.

Our network of independent financial experts includes advisors that specialize in investing in socially impactful offerings and humanitarian causes. After a client has communicated goals for the allocation of investment assets and philanthropic donations, those advisors seek to find the highest-yielding investment vehicles to satisfy those goals. Companies at the forefront of improving the world and remedying societal problems will attract more investors, thus increasing return on capital for those companies. We encourage clients to voice their impact investing goals to their advisors and to allocate a portion of their portfolios into the vehicles that will respond to those goals’ superior investment returns.