Tax Aware Investing. We believe that managing portfolios in a tax-aware manner can provide a significant benefit to clients with taxable accounts. So our investment process incorporates an additional layer of review and management for those accounts. We look at our taxable accounts every day for loss-harvesting opportunities. We seek to minimize the generation of short-term gains. We use tax-free municipal funds and more tax efficient funds in appropriate situations. We monitor when funds are about to pay shareholder distributions and avoid them when advisable. In these and other ways we use our judgment and best efforts to look out for the interests of taxable clients.

Of course, generating gains in a portfolio is important. But minimizing losses in poor markets and reducing taxes is just as important. Every dollar we save for a client is worth just as much as every dollar we earn.

-Geremy van Arkel, CFA, Principal

Socially Aware Investing. We recognize that, today, many investors are interested in investing in a manner that reflects their consciousness of social issues. Most, however, do not want to significantly increase risk or give up a large share of the potential for return on their assets in the process. We have developed an approach to managing portfolios that recognizes and balances both the desires and concerns of these investors.

Our socially aware portfolios combine socially responsible mutual funds with “genius” managers from our regular mutual fund hire list. Where there are socially responsible funds available that we believe can make a strong positive contribution to the overall portfolio, we will use them. Where we can’t find such funds, we provide the needed portfolio diversification using other funds from our stable of “genius” managers. The end result is a portfolio that reflects a sense of social awareness and, at the same time, has a solid foundation in the principals of good investing.

There is a growing demand for values-based investment options. In the past, many socially responsible investment alternatives produced disappointing results for investors. We think we have a good answer that balances an awareness of the issues of today with the need to prudently grow and protect assets for the future.

-Scott A. MacKillop, President