For Individual Investors
Our Investment Methodology
Our Investment Methodology
Our investment selections are based on:
- Expense Ratio: Keeping the expenses of underlying funds in the portfolio within acceptable ranges of the appropriate benchmark.
- Sharpe Ratio: Developed by Nobel Laureate William Sharpe, the Sharpe Ratio gauges whether a fund is generating an appropriate return based on the amount of risk that the fund has undertaken.
- Information Ratio: Quantifies the value added or subtracted by a fund’s manager versus the appropriate benchmark.
- Performance: The total underlying investment return over a group of historical periods.
- Performance Consistency: Determining if long-term returns are consistent or skewed by one outstanding period of performance. Long-term return consistency without style drift (i.e. investing in stocks of asset classes other than the specific asset class for which the fund is intended) is the hallmark of a good investment.
- Performance Consistency: Determining if long-term returns are consistent or skewed by one outstanding period of performance. Long-term return consistency without style drift (i.e. investing in stocks of asset classes other than the specific asset class for which the fund is intended) is the hallmark of a good investment.
- Selection Returns: A fund manager’s performance relative to a benchmark.
Our blend of technical and fundamental analysis
A delicate blend of technical and fundamental analysis allows MGO to manage 401(k) accounts in a manner designed to capitalize upon current market trends while not exposing assets to excessive risks.
Technical Analysis:
1. Introductory Meeting
2. Sharpe Ratio
3. Rolling Information Ratio
4. Trailing Performance
5. Performance Consistency
6. Rolling Selection Return
Fundamental Analysis:
1. Interpretation of Technical Analysis
2. Evaluation of Fund Managers
3. Evaluation of External Market Environment (i.e. mutual fund investigation)
4. Market Influence on Manager
Our Methodology
Asset Allocation Models
- Income Flex
- Speculative Growth Flex
- Moderate Flex
- Conservative Flex
- Aggressive Flex
- Moderate Conservative Flex
- Moderate Aggressive Flex
