Philosophy

Unwavering focus on growing and protecting clients’ assets. Because markets have transitions, too.

Baker Avenue believes that achieving long-term financial success demands an investment philosophy that grows and protects financial assets. To achieve this goal, a key pillar of our investment philosophy seeks to defend capital against severe down markets.

The second pillar of our philosophy is the belief that active management and comprehensive risk control creates value for investors. Our philosophy emphasizes steadfast consistency rather than a mix of brilliant successes and unspoken failures. Our views on the market may change, but our commitment to growing our clients' assets with prudent risk control is unwavering.

Process

Multiple points-of-view lead to a broader perspective.

In today's complex financial world with its hyperconnected markets, we believe relying on one singular investing point-of-view is foolish. Yet, many managers still do. So our thinking and process bring together three primary investment schools for one healthy debate: a blend of Fundamental Analysis, Technical Analysis, and Macro Analysis (TMF).

By bringing all three perspectives into the mix-and sacrificing none of these competing points of view-we take a more thoughtful, thorough, and prudent approach. The result is deeper insights and ultimately improved performance and oversight for the long term.

Portfolio Process Small
Macro Analysis Monetary Policy Fiscal Policy Interest-Rate Analysis Currency Moves Geopolitical Issues Business Cycle Analysis Inflation Direction Credit Cycle Analysis Relative Strength Intermarket Analysis Market Trends Moving Averages Support & Resistance Levels Seasonal Patterns Technical Analysis Revenue & Cost Drivers Competitive Positioning Identifiable Catalysts Forecasts versus Expectations Free Cash Flow Valuation Fundamental Analysis Risk Exposure Portfolio Characteristics Review Thesis Challenges New Securities Selection BakerAvenue Investment Committee
Portfolio Construction

Grow vs. Protect Allocation

Baker Avenue has deep experience in anticipating, protecting, and managing assets through life's major financial transitions. Our TMF process specializes in balancing asset allocation’s risk and reward, while our portfolio planning-model is driven by our long-standing practice of prudent assessment, understanding, and allocation.
Negative
Neutral
Positive
Select a state and scroll down to learn about our investment strategy.
Negative
Neutral
Positive
Negative

If our Technical, Macro, and Fundamental disciplines determine a Negative market outlook, we move to protect clients by increasing our weights in asset classes that help to preserve capital and reduce exposure to risk assets. This zone typically represents elevated risk levels for investors. This may be due to a combination of unfavorable macroeconomic conditions, unattractive market fundamentals, or deteriorating market technicals.

Neutral

Should our Technical, Macro, and Fundamental disciplines determine a Neutral outlook for the market, we balance between assets that help to preserve capital and those that are growth-oriented. This zone typically represents some uncertainty in macroeconomic conditions. Market fundamentals may be less attractive and there may be doubt about market trends.

Positive

Our Technical, Macro, and Fundamental disciplines help determine our outlook on the overall state of the market. In a Positive market environment, we are likely to be tilted more towards equities to take advantage of a growth-friendly environment for risk assets. This zone generally represents positive macroeconomic conditions and attractive market fundamentals. Market technicals also tend to be favorable for investors in this zone.

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Contact us about our portfolio process.

Let’s make the most out of every transition.