Plybon & Associates, Inc., like most successful investment advisory firms, follows a core investment philosophy. These fundamental principles guide the investment decisions we help our clients make.
Investments are used to achieve long-term goals, while savings are used for short- term goals.
Asset allocation, with a diversification among stock, bond and other markets, reduces risk.
Investors should know how their investments fit into their portfolios and why they own particular assets.
Minimizing investment cost is crucial for long-term success.
An investor’s primary decisions involve choosing a mix of assets to be held in a portfolio, not the selection of individual investments.
Risk is multi-dimensional. Investors should weigh “shortfall risk” – the possibility that a portfolio may not meet long-term financial goals – against “market risk,” – the reality that returns may fluctuate.
Market-timing and performance-chasing are not part of a winning strategy.
Future long-term returns are expected to be very similar to historical returns for various asset classes and subclasses.