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Portfolio Construction

Growth Securities

Large, medium, and small capitalization stocks


Income Securities


Master limited partnerships, high yield stocks, conventional and convertible, preferred stocks and bonds (when attractive).

Portfolio Construction

*We define risk as performance during periods of negative market performance. In the last four years of negative performance for the S&P 500 (i.e. 2000, 2001, 2002 and 2008), the stock market, as represented by the S&P 500, suffered an average annual loss of 20.02%. In comparison, growth stocks represented by the Russell 1000 growth index declined by an annual average of 27.29%. Income securities, as represented by the Dow Jones Utility and Alerian MLP indices, performed significantly better during the four years of negative overall equity performance. The lower risk Dow Jones Utility Index declined by an annual average of 6.63% and the Alerian MLP index increased by an annual average of 12.29% with only two years of negative performance in the four years of negative stock market performance.