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Investment Adviser
Oceanic Capital
Oceanic Capital
- Education University of Vermont, BA
- Qualifications 25 year professional and registered investment advisor
Global Diversified Conservative
We invest in multiple asset classes: domestic, international and emerging market equities, fixed income, commodities and energy, real estate and foreign exchange. For this model we use both individual stocks and ETFs, but do not use leverage. Individual assets, sectors or asset classes having a high degree of volatility will play little or no role in this model. In addition, we will not pursue tactical market opportunities such as market timing or technical factors.
In this portfolio we strive to create an allocation of asset classes that delivers the efficient frontier - a combination of assets which will deliver the best returns for a given level of risk. Keeping volatility controlled will be a focus. We will not be using any market timing strategies nor any leverage, and will rebalance every six months. We will avoid volatile individual stocks in favor of ETFs or more established names. Liquidity will also be a major concern and will figure prominently in all asset selections.
OCM research focuses at two key levels: allocation of assets and asset selection within the desired allocations. Our asset allocation research primarily considers correlation of investment performance over various horizons.
Once a proper asset allocation has been established, we look at each sector fundamentally. We tend to favor "category killer" companies that benefit from strong competitive barriers, have high liquidity and price transparency.
In addition to using traditional Wall Street research from the major investment banks, OCM conducts its own research and also purchase outside institutional research for “hard dollars". Our sources include The Gartman Letter, Grants, Financial Times, Bloomberg, Barron’s and The Dow Theory Letter, among others.
Once a proper asset allocation has been established, we look at each sector fundamentally. We tend to favor "category killer" companies that benefit from strong competitive barriers, have high liquidity and price transparency.
In addition to using traditional Wall Street research from the major investment banks, OCM conducts its own research and also purchase outside institutional research for “hard dollars". Our sources include The Gartman Letter, Grants, Financial Times, Bloomberg, Barron’s and The Dow Theory Letter, among others.
OCM’s investment approach is founded on the goal of “diversification optimization".
To achieve that goal, our process examines the relative performance and historic correlations of different asset classes and sectors. We use non-traditional and uncorrelated assets in an effort to offset portfolio risk and volatility and to stabilize returns.
In this portfolio we typically have 15-20 positions and no position is allowed to exceed 10% of the portfolio. Allocation rebalancing is conducted less frequently in order to maintain a conservative, longer term discipline, but is reviewed at least annually.
To achieve that goal, our process examines the relative performance and historic correlations of different asset classes and sectors. We use non-traditional and uncorrelated assets in an effort to offset portfolio risk and volatility and to stabilize returns.
In this portfolio we typically have 15-20 positions and no position is allowed to exceed 10% of the portfolio. Allocation rebalancing is conducted less frequently in order to maintain a conservative, longer term discipline, but is reviewed at least annually.
Because of the longer investment horizon of this portfolio, the lower investment turnover necessitates a broader sell discipline. Consequently, we seek to avoid over-reacting to market or position moves that may be caused by disruptive or temporary factors. If a position or asset class advances unexpectedly fast against its targeted investment performance, we may execute an early rebalancing via a partial reduction of the exposure. It is expected that this portfolio will not have the same volatility as the other two OCM portfolios.
As a conservative portfolio, investment choices are based on long-term investment horizons and long term performance expectations. As a result, there are almost no exceptions to our investment discipline in this fund.
