Walser Wealth Management

Our firm is large but intimate. We can serve clients nationwide, yet our professional organization is small enough to provide personalized service. You get the enhanced service that a large establishment offers—without being just another number. We are your family. Big box managers know institutional management. They create model portfolios to meet the needs of different types of investors. Conservative investors go to the conservative portfolio, while aggressive investors go to the aggressive one. The moderate investor gets a mix. Once you know your risk tolerance, your portfolios will be rebalanced quarterly back to the initial asset allocations. For example, a conservative model might have 10% cash and 40% government bonds. The other 50% would come from equities in the consumer staples and utilities sectors. After a quarter, equities may reach 50% of portfolio value. To bring the asset back to the original model, equity is sold, and the money goes to buy government bonds. This allows the cash, bonds, and equities remaining to stay the same as when the model was first created. Rebalancing is adjusting overweighted or underweight holdings to the portfolio’s allocations. So this rebalancing is reactive and passive. It is not proactive or preemptive. If the institution updating the model changes the asset allocations, the rebalancing isn’t a management action. It’s just a math exercise.