Asset Managers

Asset Managers


CLS Investments

Founded in 1989

Assets Under Management Over $6 Billion – As of 12/31/2010

CLS Investments – Investment Methodology CLS Investments, LLC’s (“CLS”) Investment methodology is based on a customized application of risk budgeting, a technique used to control risk.  At CLS, a team of portfolio managers who focus on identifying the most attractive asset combinations based on trend analysis and fundamental research combine this detailed analysis with a set of quantitative inputs focused on risk management to create risk budgeted portfolio for individuals and institutions.  Risk budgeting assigns each client a risk score relative to a diversified equity portfolio referred to as the CLS uses risk budgeting because of three core beliefs:

  • All clients have a capacity to bear risk, and the best way to control risk is to measure it, rather than relying on a stock-to bond ratio.
  • Over the long term, investors are rewarded for bearing risk; having too little risk may possibly hurt returns.
  • Investment methodologies should be designed to pair the disciplined risk management system with a flexible approach to asset allocation, enabling our portfolio management team to put together solid portfolios by looking at the broadest set of choices.


Lowery Asset Consulting, LLC

Founded 1984

Assets Under Management $15 Billion – as of Date 13/31/2010

Lowery Asset Consulting (LAC) Investment Methodology

Recognizing the tangible flaws of fundamental mean variance optimization (MVO) leads to significant qualitative considerations playing an extremely important role in portfolio asset allocation decisions.  Many firms opt to hide behind modern portfolio theory paying no regard to the current state of the markets with regard to entry point risk and rebalancing methodology.  Conventional asset allocation program (MVO) force investments into those asset classes that have performed the best over recent multi-year time frames.  It is no wonder investors poured a record $140 billion into index funds in 1999, the year the market peaked and was the riskiest in terms of any classic valuation metric.

Conventional asset allocation software packages are totally deficient in terms of rear-view mirror bias, inaccurate forward looking risk/return assumptions, and the fact that a key assumption in these models is clearly violated (normal distributions of asset class returns).  Lowrey’s active multi-fact qualitative model incorporates observations of economic measures, sentiment, valuation, technical’s, insider transactions, sector, style and asset class returns.  We are constantly maintaining our model outlooks in an effort to maintain optimal economic state diversification given current market conditions.

Investment Methodology – Investment Process

  • Develop long-term strategic asset allocation
  • Formalize asset class and sector options (3-5 year outlook)
  • Implement tactical viewpoint, or create market informed asset allocation
  • Develop asset allocation, ranges, and tactical considerations (Reviewed Quarterly)
  • Weekly investment committee meetings to monitor allocations, risk, performance, etc.


Dorsey Wright and Associates

Founded in 1994

Assets Under Management $1.6 Billion – as of 1/14/2011

Dorsey, Wright, & Associates (DWA) is an independent and privately owned registered investment advisory firm based in Richmond, Virginia.  Their business includes three main areas of investment research services for numerous broker-dealers, money managers, and large institutions around the world; professional money management services (provided by DWA Money Management division which is located in Pasadena, California; and the firm acts in an Advisory/Sub-Advisory role to mutual funds and providers of exchange traded funds (ETFs).  Additionally DWA provides investment services to individual investors.

Dorsey, Wright research is conducted along technical lines, adhering to the relationship between supply and demand.  It is DWA’s belief this simple but accurate economic theory is manifested as a constant battle between these two forces for controls of the investment vehicle.  It is this objective, logical approach which helps reduce uncertainty in the market, aids in effectively allocating assets, and provides a form of risk management.  Dorsey Wright believes their research will provide clients with a compass, helping to steer his or her financial ship in the right direction.