Active Management

Active management or active investing refers to a systematic portfolio management strategy in which the manager makes specific investments with the goal of outperforming an investment benchmark index.

Active methodologies employ a fluid approach to money management, moving into and out of the market in an attempt to capture short-term moves.

While asset allocation may provide stability, it generally fails to provide long-term returns greater than market averages. However, by adding a short term active component to a portfolio, greater returns may be achieved. This goes beyond traditional diversification, by varying holding time in addition to varying asset class.

Although the buy and hold approach has often been promoted by the media and large financial services institutions, we believe it should be mixed with an active element to provide proper diversification missing from many investment portfolios. This additional layer of diversification is the lynch pin of our approach to strategically mix differing holding time frames with differing asset classes to produce portfolios clients can stay with.

Active Management Solutions

Hg Capital provides proprietary active management systems, which analyze market indices to produce timely buy and sell signals for a variety of investment vehicles designed to enhance market performance. These signals may be applied to a broad range of investment vehicles including index funds, sector funds, exchange-traded funds, and futures contracts that track the underlying indices.