Boeckermann, Grafstrom & Mayer Wealth Management constructs portfolios that are diversified between equities, fixed income and cash. We encourage each client to have at least a small portion of his or her portfolio invested in equities because we believe in the United States economy. Our capitalist system has proven to build wealth, and we want every client to share in this system.
As wealth managers, our job is to diversify risk. After all, concentrated wealth makes clients wealthy, but diversified wealth keeps them wealthy. Reducing overall portfolio risk is the reason we diversify by market capitalization (large-cap versus small-cap), geography (domestic versus international), investment style (growth versus value), and management approach (passive/indexing versus active).
We do not pick “hot" stocks. We are advisors. As such we invest in equities through no-load mutual funds or separately managed accounts, depending on the client’s circumstances. We use mutual funds and managed accounts to gain diversified exposure and professional management with lower costs in each asset class, something we could not do on our own. Many clients do come to us with concentrated stock positions and our job is to help clients diversify those positions with a prudent investment management style that considers the effect of taxes as well.