Tactical Asset Allocation

Subject to the limitations set by your overall strategic asset allocation, we proactively alter our asset mix among equities, fixed income, and cash to reflect our current views of the relative risk/reward trade-off between each asset class. This tactical asset allocation is regularly monitored and adjusted to ensure that all asset allocations reflect our current views on risk and opportunity. Tactical asset allocation is only one step in our investment process, but it is an important component in achieving our twin objectives of capital preservation and long-term capital appreciation.