Strategy and Diversification



The Importance of Diversifying Your Assets

 

The key to successful investing is deciding the best way to diversify your portfolio among the different asset classes (cash, equities, fixed-income) based on your goals and tolerance to risk. With access to the renowned expertise of our BMO Nesbitt Burns Research Team, we’re able to recommend the most appropriate asset mix for you, then closely monitor your portfolio and adjust its asset mix where and when appropriate. It’s all about taking care of your investments so that they will take care of you.
 

 

Investment approach

 

Our approach is best describes as "conservative growth". We believe the core of any investment portfolio should consist of high-quality securities and that by limiting downside risk you get positive performance. Your time horizon, need for income, and risk profile will determine what weighting is appropriate for each security.

 

 

Quality and Dividends

 

The importance of investing in quality companies is best felt during periods of weakness in the overall market. When the portfolio value fluctuates, investors sleep well knowing they still own financially sound businesses that have a market for their products and services.

Many high quality investments also pay regular dividends. A steady stream of income reduces risk and allows for patience while waiting for an investment to appreciate in value. An investment paying a 4% annual dividend provides a head start towards achieving the annual return goal – rather than relying solely on capital gains to produce the return.