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ATS

Crafting a Comprehensive Wealth Strategy: Introducing Advanced Time Segmentation

At Arrow Wealth Management, we believe in breaking away from the traditional product-focused approach. When our clients approach us with financial challenges or needs, we shift our perspective towards strategic thinking. Allow us to provide you a glimpse into our innovative wealth planning methodology known as Advanced Time Segmentation (ATS):

ATS is a strategy that has long been employed by college endowments and ultra-wealthy investors. This concept involves structuring your wealth into distinct segments, akin to building a solid foundation for your financial future. Our mission is to democratize this academically substantiated approach, and be able to bring this approach to your fingertips.

Within ATS, we divide your investments into five key categories, each serving a specific purpose:

Lifetime Income: This segment mirrors the security once offered by pensions, and safeguards you against the risk of outliving your resources.

Fixed Category: Focusing on stability, this category generates a predictable income, acting as a reliable foundation for your financial portfolio.

Balanced Category: Striking equilibrium between growth and stability, this segment promotes sustained, moderate growth while mitigating risk.

Long-Term Growth Category: Aligned with your long-term aspirations, this category fuels growth over extended periods, optimizing potential returns.

Alternative/Growth & Income Category: Incorporating strategic investments, this category adds diversity to your portfolio, aiming to reduce risk and boost overall yield.

These five categories are then thoughtfully grouped across three distinct time segments:

Current Income Segment: Covering the initial 7 years, we ensure you receive a consistent income, addressing immediate financial needs.
Future Income Segment: From years 8 to 15, we adapt your income to keep pace with inflation, enhancing your purchasing power for the future.
Future Growth Segment: Beyond 15 years, this segment is strategically designed to harness the power of time, potentially yielding significant growth and stability.

Our meticulous approach extends to optimizing the allocation percentages within each category. By drawing upon academic research, such as the Wharton School, we ensure a balanced distribution tailored to your specific circumstances. 

We address every detail with utmost care, meticulously calculating how each category contributes to your financial well-being. By implementing this comprehensive strategy, we aim to deliver a secure and prosperous financial future, guiding you through each life stage while safeguarding against market volatility and inflation.

As we delve deeper into the ATS strategy, we'll explore potential investment options that align with your personalized wealth plan. Rest assured, our focus remains unwavering on optimizing risk, maximizing growth, and ensuring your financial success. We invite you to embark on this journey with us, as we chart a course towards your prosperous future.

Investment Pillars:

Elevating Your Portfolio with the Household Endowment Approach

Elevating Your Portfolio with the Household Endowment Approach

Pillar by Pillar, our investment philosophy is structured around distinct pillars, each with a unique purpose and strategy. Together, they form a cohesive framework that adapts to your evolving financial needs and goals.

Pillar 1: Buy and Hold Excellence - The first pillar embodies a buy-and-hold approach, focusing on high-quality, dividend-paying companies with a track record of stability and growth spanning two decades or more. These companies have consistently demonstrated resilience and financial strength, making them a cornerstone of long-term wealth accumulation. By directly owning individual securities within this pillar, you participate in the enduring success of these reputable enterprises.

Pillar 2: The Core Holdings - At the foundation of your portfolio lies a comprehensive diversification strategy that embraces market themes, mitigates volatility, and captures opportunities across multiple indices. Our approach challenges the norm by pitting our holdings against a spectrum of benchmarks, encompassing 18 diverse indices. This global diversification ensures your investments are well-positioned to weather market fluctuations while actively participating in profitable trends.

Pillar 3: Tactical Management - Diving into the third pillar, we adopt a tactical management philosophy that seeks out opportunities and identifies value-driven companies. Our goal is to maximize returns by leveraging trends and momentum, while remaining vigilant to swiftly exit positions that raise concerns. This strategic interplay between core holdings and tactical management enhances the potential for alpha generation, augmenting your portfolio's overall performance.

The Art of Adaptation - The genius of the Household Endowment Approach lies in its adaptability. Like a well-tailored suit, this strategy doesn't confine itself to a single mold. Instead, it mirrors the dynamic and sophisticated approach employed by renowned endowments, allowing us to navigate various market conditions and capitalize on diverse opportunities.

Your Financial Legacy, Enriched As we integrate the Household Endowment Approach into your investment framework, we're embracing a realm of sophistication and strategic versatility that sets the stage for enduring financial prosperity. With pillars carefully designed to complement and enhance one another, you'll experience a level of portfolio management that mirrors the strategies of academic giants while remaining attuned to your unique financial aspirations and goals.