Developing an investment philosophy is something most successful investors create. As a fiduciary, developing client specific viewpoint of investing is essential to the decision-making process.
Some key considerations to ask yourself:
Why am I investing in the markets?
Which investments will help me achieve my goals?
How much time do I have to accomplish my goals?
Aristide Partners will develop appropriate investment strategies and create a financial plan based on your specific goals and objectives.
Mr. Aristide’s investment philosophy is one of both value and growth-oriented stock selection.
Growth Strategy:
Growth can be defined as a company whose earnings are expected to grow at an above average rate relative to the market.
Focus on companies with rates of growth that are above average in earnings and sales. Growth stocks tend to have above market price-to-earnings and price-to-sales ratios, as the rapidly growing sales and earnings justifies a higher than average valuation.
Value Strategy:
A company that tends to trade at a lower price relative to its fundamentals (i.e. dividends, earnings, sales, etc.) is considered undervalued. Common characteristics of such stocks include a high dividend yield, low price-to-book ratio and/or low price-to-earnings ratio.
Focus on companies with lower than average sales and earnings growth rates. Holdings generally feature stocks with lower price-to-earnings and price-to-book ratios. Stocks generally have higher dividend yields.
