Investment Strategy

 

Holland Investment Management uses a Global Macro “Top Down” Investment Strategy to allocate client portfolio assets.

Our goal is to diversify the portfolio using not just traditional asset classes such as stocks and bonds but also alternative asset classes which are less correlated to more traditional asset classes.

All portfolios are divided into 4 categories representing 18 different asset classifications.

    I. Global Fixed Income

  1. US Cash
  2. Non-US Cash
  3. US Fixed Income
  4. Non-US Fixed Income

    II. Global Asset Allocation

  5. "Income-Oriented" Global Asset Allocation Funds (Equities less than 50%)
  6. "Growth-Oriented" Global Asset Allocation Funds (Equities greater than 50%)

    III. Global Equity

  7. US Stocks (Yield Oriented Infrastructure: Utilities and MLP's)
  8. US Stocks (All Caps) (Growth & Value) (excluding Yield Oriented Utilities & Energy MLP's)
  9. Non-US Stocks – (Developed) (All Caps) (Growth & Value)
  10. Non-US Stocks – (Emerging ) (All Caps) (Growth & Value)
  11. Equity hedges

    IV. Global Alternatives

  12. US Real Estate
  13. Non-US Real Estate
  14. Non-Correlating Alternatives (Long-Short & Volatility Strategies)
  15. Non-Correlating Alternatives (Currencies)
  16. Gold Bullion
  17. PM Related (Gold & Silver Miners/Silver Bullion/Other)
  18. Commodities

Within each of the 18 categories above, we can utilize actively managed open-end mutual funds, closed-end funds, exchange traded funds or individual securities.

Open-End Funds

When using actively managed funds we strive to select managers with:

  • Long-term records of success navigating various market conditions.
  • Consistently outperforming peers over 3, 5 and 10 year time frames.
  • Reputations and success is in the area of expertise in which we have hired them.
  • Transparent and understandable investment strategy.
  • Managers who create value (alpha).
  • Strong institutional support. Large, deep teams of analysts and independent research from parent mutual fund companies that are strong and stable.

Exchange Traded Funds

We use ETF’s which trade with enough liquidity to make substantial portfolio moves for all our clients without any price degradation

Closed-End Funds

We strive to purchase CEF’s at the more attractive end of their discount range and/or when the underlying assets are selling at a historical discount.

Individual Securities

Individual company securities are used for tactical and timely opportunities.