Investment Philosophy
Free markets work
David Bruce's 28 years of investment experience has yielded two important truths.
First, being smart and working hard will not necessarily lead you to your long-term investment goals.
Second, free markets are brutally efficient in setting reasonable prices and trying to time them is counterproductive, costly and unnecessary.
He believes that over long periods markets pay for risk taken. We therefore keep portfolios fully invested and let the markets do their work, while using the finest research available to support each investment decision.
Diversification is essential in intelligently assuming investment risk
Diversification reduces portfolio volatility because different holdings don't move together. We believe in broad diversification by selecting several well-defined asset classes for each portfolio. For equities, we use Canadian, U.S., international and emerging market holdings. In fixed income, we emphasize short-term, high-quality exposure.
Enhanced asset classes are key
We use a consistent asset class approach with tilts to "value" and "small cap" stocks. This approach focuses on low cost, high tax-efficiency and diversification. We protect clients from the tendency to invest in different securities as they go in and out of favour.
Keeping fees, expenses and all other costs low is important
Because we design portfolios using low-cost strategies, trade patiently and keep management fees reasonable, our clients are more likely to achieve their financial goals sooner.