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Hudson Canyon seeks to create wealth and preserve capital by minimizing risk through a diversified allocation of common stocks, bonds and cash equivalents. By diversifying across these asset classes, we seek to maximize returns while taking into consideration the client's risk tolerance. The asset mix of each individual portfolio is determined with a long term investment perspective, and is continuously reviewed and evaluated as changes occur in economic, political and market conditions.
Our investment process is composed of three main elements:
- Asset Allocation between equity, fixed income, and cash for a given portfolio are established to best achieve client goals and meet income requirements. The mix is periodically adjusted based on changes in client needs as well as the changing risk/reward aspects of the various investment alternatives.
- Equity Management focuses on constructing a diversified portfolio of value companies that we believe have superior qualitative and quantitative characteristics. We emphasize companies with strong financial records, including strong sales and earnings growth, attractive long-term growth rate, low debt ratio and high return on equity. We act opportunistically and purchase stocks at what we believe are reasonable valuations. We will utilize exchange traded funds to gather broader diversification.
- Fixed Income Management focuses on developing current income while reducing price volatility and credit risk. We construct a core of high quality corporate issues, municipal bonds and U.S. Treasury obligations. We may use specialized mutual funds and exchange traded funds to gather broader diversification, if needed.
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