How does Green Investment Management, Inc. control risk?
Both the Guardian and Opportunity allocations are designed with strategic and tactical ranges (strategic is considered the base or target allocation, tactical is the range of minimum and maximum exposure to any given asset class) and reduce risk to the client’s portfolio through proper diversification and certain defensive positioning. The Guardian Allocations (the more conservative of the two) take this one step further. The Guardian Allocations active/defensive style gives them a wider tactical band through which it can move incrementally in or out of the market to preserve client principal. For example, GIM may reduce the domestic equity exposure of the portfolio to 10% if its indicators recognize unfavorable conditions for this asset class. Conversely, if GIM’s indicators show the risk of holding domestic equities is relatively low, and opportunities are correspondingly high, GIM may increase exposure in this asset class to the maximum of 60% allowed within the tactical allocation.
