Basis of Investment Decisions

We at Lighthouse Financial Advisors believe in investing strategically in Dimensional Fund Advisors (DFA) mutual funds because of their unique approach of translating financial science into practical investment solutions for clients.  We invest in Dimensional to build portfolios along the dimensions of expected returns that can be pursued in a cost-effective manner.  Their dynamic, market-driven process and flexible trading strategies allows them to manage the tradeoffs that matter for performance, while balancing opposing premiums, diversification, and costs.  Dimensional’s process is applied consistently across a broad range of competitively priced strategies, which span asset classes and geographies, to help meet the diverse needs of investors worldwide.

At Lighthouse, we avoid the traps of Conventional Investing.  Those are making prediction bets, searching for the “best” fund managers, investing based on what the media says and being influenced by stock tips from acquaintances.  We, and DFA, base our investments on the four principles of Strategic Investing listed below:

1)      Market Equilibrium:

  • Trying to outsmart other investors is very tough to do, almost so that we feel it is impossible.  Market prices are based on many competitive buyers and sellers with the same public information, but different opinions about the expectations of an investment.

2)      Diversification:

  • Regardless of what you’re invested in, each holding carries risk one way or the other.  By investing in many groups of investments around the world you help reduce the risk of losing your overall net worth.

3)      Asset Allocation:

  • We work with you to discover the Investments you’re comfortable making.  Various groups of stocks and bonds carry various degrees of risk and expected return.  We want you to feel comfortable in the investments you decide on.

4)      Purpose and Discipline:

  • Investing is the journey to a personalized financial destination.  First, the plan is created, then the process gets put in place and then you finalize with the product to invest in.  Whether it is a good or bad market you should always stick to your plan.

 

For more information on Dimensional Fund Advisors, view their site at: http://us.dimensional.com/

1 reply
  1. WillCrero says:

    Давайте поделимся друг с другом полезные советы: как вы сокращаете расходы в повседневной жизни? Есть ли у вас надежные способы сэкономить деньги — будь то покупки, поездки, еда или развлечения?

    Я, например, стараюсь всегда искать промокоды перед покупкой в интернет-магазинах — это правда помогает тратить меньше. А какие способы используете вы?

    Будет здорово, если расскажете о своих фишках, полезных сайтах, программах или даже подходах, которые помогают не переплачивать. Возможно, у кого-то есть опыт с возвратом части денег, групповыми заказами или распродажами — не держите в себе!

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply

Your email address will not be published. Required fields are marked *

Contact

Lighthouse Financial Advisors

3 Harding Rd Suite B
Red Bank, NJ 07701

P: 732.747.6697
F: 800.886.0302
info@lfadvisors.com

Contact Us

Disclosures

Client Relationship Summary – Form CRS
Firm Brochure – Form ADV 2A

Recent Posts

Sunscreen, Swimsuits… and Savings? Ditching The Spending Guilt On The Things You Enjoy

Your Estate Plan: A Living Part of Your Financial Picture

Why an IRS IP PIN is Important for Your Tax Security

Energy Credits – The Basics You Should Know

Copyright Lighthouse Financial Advisors, INC . Disclaimer . Privacy & Legal Information

Certified Financial Planner Board of Standards, Inc. owns the certification marks CFP(R),
Certified Financial Planner™ and CFP(R) in the U.S., which it awards to individuals who successfully complete initial and ongoing certification requirements

Website Design by TandarichGroup