A Window of Opportunity

Capitalizing on the Future • Change rewards the well-informed. Today important change is taking place within investment management. Credible industry studies indicate that ordinary, institutional-sized portfolios will probably earn nominal returns in the 5% to 9% range for holding periods of five years or longer. Because many financial services providers have consolidated into huge firms — the top 10 now manage $1 trillion or so apiece — most investors unfortunately can expect uninspiring index-like returns.

But the groundwork for better results is being established now. An increasing number of individual managers seeking independence, freedom of action, intellectual vigor, personal accountability and creative enjoyment are forming entrepreneurial firms sufficiently focused, disciplined and nimble to capture returns based on information and analysis that the mega firms do not have the inclination to pursue.

Clients Do Choose Successfully • Clients with large pools of capital have limited options with respect to increasing returns and decreasing risk. Because it is difficult to select superior managers, clients tend to focus instead on asset allocation, a subject with inherent limitations that must be treated with caution. The invariable key to a successful result is the quality of the investment professionals and their organizations, provided they can be identified.

Hamilton & Company has provided unusual acuity in manager selection for
almost four decades, applying thorough research, special sources of information and a measure of intuition to find the best.