Managing Your Account

The management of client portfolios involves continuously monitoring the positions within the portfolio and taking action by buying or selling securities and adjusting the asset allocation to fit your investment objectives.

Rebalancing
We use the following methods to rebalance portfolios:

• Taking advantage of market opportunities in different sectors of the market.
  Stocks are sold in a sector if we believe that valuations are ahead of themselves or expect the sector to under-perform the market in the next year. The money is then allocated to another area of the market that appears to have more potential. This is commonly referred to as sector rotation. It often occurs when stocks in an industry group have done relatively well. This helps improve returns and can also reduce risk.
  
  
• Taking advantage of opportunities in the stock or bond markets.
  This strategy allows us to take advantage of opportunities, to meet client investment objectives and to reduce the risk of the portfolio.
  
  
• Adding to a client's cash position.
  We don't attempt to time the market, but will often keep more cash on hand at times when we believe that risks are higher. The client's objective and risk tolerance are always kept in mind as we manage the client's account.
  Ongoing communication between the client and advisor is of the utmost importance to insure we are aware of any changes that might have client cash flow needs or risk tolerance.
  

Copyright © 2003, Pacwest Financial Management, Inc. All Rights Reserved.
DBA Arizona PacWest Financial Management Inc., Registered Financial Advisor
Designed by Kinexus Design.