The broad investment mission of Equitable Trust is to preserve and enhance client wealth. We believe people want more than mass-produced products and strategies conceived and developed by people distant from the investment decision and implementation. An essential element in the investment process is effective communication with the client.
Custom client-centric solutions
No proprietary products
Diversification through asset allocation
Individual stock and bond selection
Third party manager evaluation and selection
Passive index strategies
Liquid and illiquid alternatives
We are advocates of diversification by way of thoughtful asset allocation. The appropriate combination of equity, fixed income and alternatives can mitigate volatility and enhance risk-adjusted returns over a complete market cycle. Since short-term swings in markets are unpredictable, we take, and we encourage clients to take a long-term view toward investing.
The process begins with an in-depth discussion to make sure we understand fully a client’s needs, goals, and concerns.
Equitable Trust has more than 20 years of investment consulting experience that has developed into a time-tested approach to outside manager due diligence and selection.
We access third-party investment managers through separately managed individual accounts and institutional class mutual funds that offer lower management fees. With separately managed portfolios, security selection and timing of purchases and sales – and resulting tax consequences – can be managed exclusively and most effectively for each client.
Superior risk-adjusted returns
Independent, boutique, employee-owned
Managers personally invested in the strategy
In-person meetings with the investment team
Continuous communication with the portfolio manager
Detailed analysis of portfolio holdings
Thorough vetting of operational procedures
At Equitable Trust we dedicate significant firm resources to highly regarded independent research firms recognized for their reliability and independent thought. The Investment Committee identified leading business franchises considered suitable for portfolio additions based on company fundamentals, price and current market conditions.
Stocks are reviewed continually and evaluated in the context of the Investment Committee’s sell discipline. While portfolios are designed to be low turnover with long-term investment horizons, stocks will be considered for sale when they trade above historical and relative valuations or when fundamentals deteriorate.
Large, high-quality companies (20-40 names)
Growing companies at reasonable valuations
Highly profitable, leading business franchises
Low-turnover, long-term investment horizon
The objective of Equitable Trust’s fixed income investing is to produce superior after-tax returns without assuming undue risk relative to the objective of the account. For income-oriented individual accounts, tax-exempt municipal bonds can be a major component of the investment strategy, and at Equitable Trust the municipal bond market is an area of long-standing specialization. By being alert to market inefficiencies, particularly in the market for bonds of Tennessee issuers, our portfolio managers can secure highly competitive after-tax yields for clients.
Alternative strategies offer diversification, reduced volatility and downside protection because of their lower correlation to stocks and bonds.