facebook twitter instagram linkedin google youtube vimeo tumblr yelp rss email podcast phone blog search brokercheck brokercheck Play Pause

Our Investment Management Process

Based on sophisticated asset allocation concepts and Nobel Prize-winning Modern Portfolio Theory, our Investment Management and Research team’s objective is to help protect your assets, generate growth, and build consistent long-term returns while navigating market volatility. 

Here’s the disciplined approach we follow in conjunction with the expertise, experience, and resources of Commonwealth’s team.

Step 1: Screening

An initial screening process based on quantitative criteria is used to narrow down the universe of thousands of investments that meet objective criteria.

Step 2: Evaluation

An investment under consideration is evaluated by applying a scoring system based on risk-adjusted returns, peer group ranking, and consistency of investment management style.

Step 3: Analysis

Our objective is to build a solid understanding of how the investment operates. The Investment Management team spends a great deal of time evaluating the investment’s philosophy and process to ensure that they are consistent. The team meets with the potential investment’s key decision makers—either on-site or over the phone—to gain a greater understanding of their process for managing the portfolio.

Step 4: Portfolio Construction

Even if the investment is attractive on a stand-alone basis, we then assess how well the investment complements and fits other portfolio holdings. A review of certain metrics is performed to ensure that holdings will perform as expected in different market environments.

Step 5: Ongoing Monitoring

The Investment Management team continually conducts performance reviews, holdings-based attribution analysis, firm commentary reviews, and conference calls and meetings to determine whether a portfolio is meeting the team’s risk-adjusted return expectations and an investment’s stated objective.


We adhere to a consistent rebalancing strategy that helps ensure your account stays on track and in line with defined risk tolerance. Over time, portfolio characteristics and asset mix may shift away from the designated comfort range. Through proactive and continuous monitoring, our team can identify whether positions have become too risky or too conservative and make adjustments as necessary to rebalance the model’s target weight and take advantage of any opportunities on the horizon.