Investment Strategy

Saddle River Capital Management is an Investment Manager and Registered Investment Advisor. We have been managing ETF portfolios with a track record dating back to 2004. 

 

Our background includes decades of work providing investment research to the top Portfolio Managers in the country. During this time we saw the investment climate change frequently between returns generated from growth investing vs. value investing. When Portfolio Managers needed to make changes to keep up with the current investment climate it meant trading many stocks and taking time to adjust portfolio allocations.

 

We realized with the advent of ETFs, Portfolio Managers had the flexibility to rebalance asset allocation and security selection quickly and efficiently to stay on top of current market conditions. 

 

****************************************************************************************************  

 We Believe in Active Indexing. 

The index advantage: lower cost, easy diversification, manageable portfolio risk, tax advantages, and consistent results. 

 

Why do we use ETF's to build our portfolios?

SRCM believes ETFs give an investor the ability to concentrate on the art of asset allocation. ETFs give an investor the ability to set targeted asset allocations consistent with their investment time horizon, risk tolerance, and financial situation.

SRCM believes ETFs allow a portfolio manager the ability to actively manage security selection. The ever changing marketplace offers opportunities to over or under weight market indexes to a specific style (growth vs. value).

 

SRCM Investment Strategy

SRCM believes in the art of actively managing passive investments.  We offer portfolios with broad asset allocations based on a core portfolio modeled after the most successful endowment funds in America.

SRCM believes in a disciplined approach to investing. We have created a proprietary research model that uses fundamental and technical analysis to not only generate our asset allocations for each portfolio but to also aid us in security selection. This model is based on time tested research methodologies designed by the principals of SRCM.

SRCM believes in a tactical approach to investment management. We are constantly monitoring the markets and updating our research model. This allows us to make timely asset allocation changes when needed.


SRCM Investment Process

SRCM believes in using the forward looking conventional tools of fundamental analyses along with the backward looking historical tools of technical analyses to drive our investment process. We have developed a proprietary two step research process that is used to generate the asset allocation and security selection that makes up each portfolio.

Step one: We use relative strength analysis to weight each asset class. This process helps us determine the asset class weightings for our portfolios.

Step two: We use fundamental and technical analysis to evaluate the underlying securities that makes up each ETF. The product of this analysis is a unique SRCM score for each ETF. The SRCM score is then used to select the individual ETFs included in the portfolio.  

 

At Saddle River Capital we believe in using sound strategic asset allocation techniques coupled with comprehensive fundamental and technical analysis. We consider this strategy to be the most effective approach to delivering consistent superior returns.

 

Take a look at our ETF Model Portfolio Strategies