Investment Philosophy
Petersen Hastings provides clients with the highest level of professional
investment advice. Our sound investment philosophy is based on proven techniques
that help clients fulfill their long-term goals. This is accomplished by using a
wide range of investments, many of which are tax efficient, while utilizing
sophisticated computer programs designed to help monitor and manage returns and
volatility.
The concept of portfolio volatility and its effects on returns was first
explored by Professor Harry Markowitz. This conceptual framework was later given
the title: "Modern Portfolio Theory." Dr. Markowitz and his colleague William
Sharpe were awarded the Nobel Prize in 1990 for their work on the theory and
practice of portfolio diversification. While investors before then knew
intuitively that it was smart to diversify (i.e. Don't put all your eggs in one
basket), Markowitz was among the first to quantify risk and demonstrate
quantitatively why and how portfolio diversification works to reduce risk for
investors.
Petersen Hastings uses Modern Portfolio Theory to make sound decisions. Many
financial advisors merely strive to maximize performance without considering the
portfolio volatility and risk. Often, what these firms do is put their clients
in inappropriate and unduly risky investments. Simply put, Petersen Hastings'
investment philosophy is to help clients successfully attain their financial
goals while minimizing risk and volatility.
Learn more about the investment process.
