"The essence of investment management is the management of risks, not the management of returns."
- Benjamin Graham
Are you looking for effective portfolio risk management in Vancouver? At Cadence Financial Group, we believe that capital preservation is the key for risk management. In order to manage the risk and downside volatility in portfolios, we use three forms of strategic risk management. Each of these forms works towards planning, making profits and, of course, protecting those profits.
The first strategy we use includes employing exit strategies on all the positions we own, which we accomplish by using what is known as ‘stop-losses’. With the help of our stop-losses, we can prevent our clients from sustaining substantial losses.
Secondly, during periods of market volatility and uncertainty, our team will raise additional cash in order to protect the underlining capital of portfolios.
Lastly, when we put cash to work, we spend a comprehensive amount of time looking for sectors that are performing the best. In simple terms, we invest in sectors that have positive momentum. Once these sectors have been identified, we individually select companies that will be best suited for each client’s personal portfolio.