"Sleep at night" approach designed to limit downside risk while offering potential for strong upside returns
NEW YORK, June 1 /PRNewswire/ -- Brookstone Partners, a private equity firm specializing in the middle-market, today announced the launch of Brookstone Partners Asset Management, an independently operated investment advisory group dedicated to providing advice designed to limit risk and earn above-market returns for investors in the long term. In conjunction with the launch, Michael Toporek was named Chief Investment Officer of Brookstone Partners Asset Management.
Brookstone Partners Asset Management employs a "sleep at night" approach to investing and asset allocation designed to address concerns about the current challenging investment climate. The strategy seeks to limit downside risk, maintain liquidity and exceed market index returns over the long term.
A Brookstone Partners Asset Management Balanced Portfolio has the following components:
A Cornerstone Fixed Income Program focused on high grade corporate, government and municipal bonds;
A Risk Controlled Equity (RiCE) Program - a "sleep at night indexing" product that seeks to match an annualized rise of up to 30% in the S&P 500 while limiting the downside of a drop in the S&P 500 to a potential loss targeted at 15%;
An Alternative Asset Program composed of private equity, venture capital, mezzanine, real estate, hedge funds and other alternative investments representing 5% to 15% of assets.
Every asset allocation program is thoughtfully and highly customized to an individual's financial profile, individual goals and risk tolerance. To execute its strategy, the firm uses a managed account program for each client.
"At Brookstone Partners Asset Management, we believe that markets are efficient in the long term but that every five years or so we undergo periods of either extreme over-valuation (bubbles), or under-valuation (panics) such as we are experiencing today," said Mr. Toporek. "Our goal at Brookstone is to limit our investors' downside potential during these market fluctuations and provide a less volatile path to exceed market returns over time."
"A simple 50/50 allocation of the Brookstone Risk Controlled Equity program and our Cornerstone Fixed Income program with our 'sleep at night' approach can yield half the volatility and higher returns than an S&P 500 and bond portfolio," added Mr. Toporek. "Additionally, diversification depends on what you own, not how many different things you invest in. Diversification must be done carefully and can be accomplished with three to five asset classes. Simply owning 20 to 30 funds and ETF's can provide a false sense of diversification."
About Brookstone Partners Asset Management
Brookstone Partners Asset Management is an investment advisory group dedicated to limiting risk, maintaining liquidity and exceeding market returns for investors in the long term. Portfolios are constructed to control risk and are composed of a Cornerstone Fixed Income Program, a Risk Controlled Equity Program (RiCE) designed to match the S&P 500's annual returns with limited downside risk, and an Alternative Asset Program composed of private equity, venture capital, mezzanine, real estate, hedge funds and other alternative investments. For more about Brookstone Partners Asset Management, visit www.BrookstonePAM.com.
Brookstone Partners Asset Management provides investment advisory services through Partnervest Advisory Services, LLC, www.partnervest.com, an investment advisor registered with the Securities and Exchange Commission. Fees associated with the RiCE and Cornerstone products will vary by investor based on each investor's assets with Brookstone Partners Asset Management and within each respective product account. Material economic events or conditions will have positive or negative impacts on the performance of both Cornerstone and RiCE accounts. While RiCE accounts seek to limit losses to 15% when components are held to maturity, the market value of a RiCE account can from time to time and have mark-to-market losses in excess of 15%. The RiCE and Cornerstone account model performance shown includes the value of re-investment of interest and dividends from prior periods. Consider the investment objectives, risks and charges and expenses of the Brookstone Partners Asset Management managed account investment programs carefully before investing. Past performance is not indicative of future returns and there is a risk of loss of principal. For this and other information about Brookstone Partners Asset Management investment programs, please contact Brookstone Partners Asset Management at (212) 302-7667, on the internet at www.BrookstonePAM.com or by mail to Brookstone Partners Asset Management, 317 Madison Avenue, Suite 405, New York, NY 10017.
