Unlike many firms, Signet Financial Management manages portfolios using in-house research and portfolio management. Because of this we rarely use outside managers and seek to manage your money at a lower overall cost to you.
We help you think through your most pressing investment-related issues and build portfolio solutions for any market environment. In developing your investment strategy, we start with an in-depth process of discovering who you are, what your priorities are, and what you want to achieve. Then we apply our skill and experience to manage investment solutions that best fit your unique needs.
Signet provides investment strategies for individual investors, 401(k), 403(b) and SEP plans, IRAs, endowments and foundations, advisors, and family offices.
Our investment team believes that a disciplined, analytical process—grounded in academic theory and fundamental research—drives success in the long-term. We use evidence, data, and logic to make investment decisions. We structure your portfolio based on years of market research and a deep understanding of the dimensions of risk that reward investors over longer (10+) periods of time. We don’t participate in guesswork, predictions or market timing. We use a proprietary, quantitative stock ranking system—which we call factor investing—to evaluate investments across an extensive group of factors, including value, size, quality, momentum, and safety.
Signet brings a sophisticated, institutional framework to investing for you. We may adjust asset class exposure to avoid undue risk and attempt to take advantage of attractive areas of the markets.
We seek positive growth—alpha—by actively managing a portfolio consisting of individual U.S. and global securities.
We first look to forecast changes in the macro cycles in the market. This is top-down analysis. We strive to build upon the groundbreaking works of Eugene Fama and Kenneth French, William Sharpe, Bruce Jacobs and Kenneth Levy and other recognized figures in the world of finance. We live in a complex world where multiple factors impact market dynamics and security prices. Looking at a single factor is not enough.
We then look to rank individual securities—also called bottom up analysis—based on the best factor mix, which would work across different investment regimes. For your equity portfolios, for example, we start with a broad universe of approximately 3,000 stocks, narrow the universe to about 300 of the best prospects. Only about 30 to 40 stocks may make it into your highly selective and concentrated portfolio.
We believe you should only accept as much risk as necessary to achieve your financial goals. We look to custom design your portfolio for more than the pursuit of returns – we also look to eliminate undue risk. Because risk is a necessary part of investing, it is essential to manage those risks and find the right balance between risk and expected return for you.
We offer a comprehensive risk assessment to help you identify, understand, and quantify sources of risk. We ensure that the assumption of risk is intentional and consistent with your investment objectives.
With the financial world more complicated and uncertain, there are tactics such as options that can help investors stay invested through volatile times and achieve their long-term goals. Signet’s option strategies seek to generate new sources of income, reduce risk, and diversify portfolios. Using an options strategy may also reduce the importance of timing when entering a volatile market. Staying the course with a strategic allocation is especially important during turbulent times.
Many believe options are a risky and complicated way to play the stock market. We use options quite differently. We may employ specialized option strategies that seek to minimize the ups and downs of the market… not to speculate on short-term trends. The result we seek is a relatively conservative solution that targets a smoother ride and higher income than a traditional stocks and bonds alone.