Investing as an art form requires an innate ability to see the unseen, to understand emerging patterns that are not immediately evident. At the same time, there are principles, trends and conventions that persist even in the most unpredictable of times.

To be successful, investing must be seen as both an art and a science.

Here are a few key concepts that drive our unique thinking:

• Markets are generally efficient and revert around the mean – but at the same time, individual investors overreact to positive and negative trends. Together, these present opportunities for savvy investors.
• Advancements in technology have largely removed the "insider's edge." The playing field is much more even.
• After taxes and fees, and in consideration of risk, the vast majority of traditional active managers fail to outperform passive investments (index funds).
• Performance is driven mostly by dynamic asset allocation and absolute-return investment vehicles.
• Tax and cash-flow timing, often overlooked by portfolio manager, can have a significant impact on long-term returns