One of the very nice things about investing in the stock market is that you learn about all different aspects of the economy. It’s your window into a very large world.”Ron Chernow
What is the Pendragon Balanced Strategy for Managing Wealth Portfolio?
Pendragon Capital actively manages its balanced portfolio as a broadly diversified asset allocation strategy through a combination of analysis of industry, market and economic trends. The account maintains a minimum allocation of 20% to fixed income.
The strategy uses both broad-based index products as well as sector index funds.
Who should consider investing in the Balanced Strategy Portfolio?
This portfolio is attractive for investors who are seeking actively managed broad diversification across asset classes. This broad diversification can include US and non-US stocks and bonds, different market caps, and different sectors.
Who manages the account?
Ian Green is the portfolio manager for Pendragon’s balanced strategy. Ian has been a registered investment advisor since 1997. Ian is a CPA and is a member of the AICPA Personal Financial Planning section. He holds a BS in accounting and economics from Marist College and an MBA in finance from Columbia University. Pendragon Capital Management, Inc. exercises discretionary authority over buying and selling securities in the account.
In what types of instruments will the manager invest?
The balanced strategy selects investment holdings based on the goals and risk tolerance of the particular client. We employ passive index funds and ETFs to provide broad equity and fixed income exposure. In addition, the investment manager through his research selects sector ETFs to provide additional diversification and exposure to areas of the market where opportunities exist.
What are the fees associated with the Balanced Strategy for Managing Wealth Portfolio?
Pendragon Capital Management generally charges a 1% management fee, paid quarterly based on the quarter-end account value. In addition, the investor will pay other fees such as trade commissions and other ancillary brokerage or clearing firm charges.
What are the risks associated with investing in Balanced Strategy for Managing Wealth Portfolio?
All investing involves risk. Investors can lose all or part of their principal. The overall market is volatile. While the strategy invests in passive index funds, the account is still subject to the ups and downs of the various markets. Changes in interest rates affect bond prices.
When dealing with foreign funds, currency exchange rates can also affect prices. Geo-political events also present risk.
Can the Balanced Strategy for Managing Wealth Portfolio be held in a retirement account?
Yes, Pendragon’s balanced strategy can be used in retirement accounts
Is there a minimum investment to open the Balanced Strategy for Managing Wealth Portfolio Account?
Yes, the minimum investment for the balanced strategy is $100,000. For investors with less to invest, Pendragon Capital would refer you to its affiliate, BrokerageSelect (www.brokerageselect.com) for an investment strategy using mutual funds.
What are the applicable safeguards?
While there is no protection against market losses, the Balanced Strategy Portfolio exists in a brokerage account at a FINRA SIPC member securities broker-dealer. The broker-dealer employs a third-party clearing firm to hold all client assets and send trade confirmations and monthly statements to clients. Please see SIPC protections on the SIPC website (www.sipc.org). In addition, our clearing firm, Wedbush Securities, Inc. provides private insurance up to $25 million per customer to protect against fraud or bankruptcy.