Investment Due Diligence

The unpredictability of financial markets makes it critical for plan sponsors and fiduciaries to develop and maintain thoughtful and comprehensive investment due diligence guidelines. We work within the context of your investment policy statement/IPS to follow the philosophy and procedures for selection, monitoring, and replacement of investments in your portfolio. The IPS serves as both a blueprint for your investment strategy and a report card.

The Investment Policy Statement gives you a structured framework you can use to evaluate your current investment options against your providers complete list of investment options, the global universe of investment options, and applicable financial indices-giving you the assurance that your investments are diversified, well managed and meet the stated goals of your investment strategy.

Investment Due Diligence must be performed on a regular basis to comply with the Department Of Labor's guidelines and to minimize the risk of fiduciary liability. When evaluating individual investments we use a variety of analytical tools including style factors (correlation and style drift), risk/return factors (up/down capture, R squared, standard deviation, and Alpha), peer group rankings and qualitative rankings.