Investment Management Process
INITIAL CLIENT MEETING
This is the opportunity for clients to begin learning about the client management process at Monterey Bay Asset Management, and for us to obtain a thorough understanding of each client’s specific circumstances, needs and objectives.
GATHERING CLIENT DATA
Client risk sensitivities are determined, along with investment return objectives and any client specific constraints, including tax sensitivities. Information regarding clients’ personal and financial goals, other professional advisors, and current balance sheet and cash flow status are obtained. While sometimes completed during the initial meeting, it can often take days or weeks to assimilate a client’s financial information into a detailed financial profile.
ANALYSIS OF FINANCIAL SITUATION
Thorough analysis of client financial profiles enables us to determine what steps need to be taken to help you achieve your goals. Analysis of assets and cash flows helps pinpoint whether and when budgeting and/or additional savings may be required. For those clients who include charitable gifting among their goals, this process allows us to determine the extent to which such gifting is feasible.
DEVELOPMENT OF RECOMMENDATIONS
An investment policy statement, detailing the client’s specific objectives and constraints, is prepared. This document spells out the target asset allocation and investment methodologies to be used within client portfolios, and establishes investment benchmarks against which to measure performance.
Upon establishment and funding of new accounts, signing of investment advisory contracts and agreement to investment policy statements, investment plans are implemented in accordance with policy.
In addition to comprehensive quarterly reporting detailing investment performance, portfolio positions, and asset allocation, Monterey Bay Asset Management conducts annual review meetings with clients (or more frequently, if needed). Rebalancing of portfolio positions is undertaken, when required, to keep portfolios in line with policy statements. Any changes in client circumstances, needs or objectives are recorded as they occur, allowing us to adjust policy statements as necessary.