Portfolio Construction

Success for our clients at Pinnacle Capital Management is a result of our disciplined portfolio construction process. Our portfolios are designed to be broad enough to provide proper diversification so as to reduce undue risks, while individual positions are sufficient enough to have a meaningful impact on the overall return of the portfolio. The equity portion of our portfolios usually consists of 25 to 30 different stocks. The securities making up the fixed income component of our portfolio vary based on the criteria outlined in the Fixed Income Selection section.

The overall allocation between equity and fixed income is determined by matching our clients’ investment objectives to one of our portfolios, which are categorized as Aggressive Growth, Growth, Balanced, Moderate, and Conservative. We also offer an Active Asset Allocation (AAA) portfolio for those clients who wish for their portfolio to be managed according to an asset allocation strategy utilizing multiple asset classes. The AAA portfolio is constructed with exchange traded funds in multiple asset classes designed to complement and be used in conjunction with our traditional equity investment selections.

See Equity Selection or Fixed Income Selection.