Successful investment management companies base their business on a core investment philosophy, and Cryptoteng is no different. Although we offer innovative and specific strategies through digital asset funds, an overarching theme runs through the investment guidance we provide to clients— focus on those things within your control. There are basically four principles that we attach great importance to:
1) Create clear, appropriate investment goals: An appropriate investment goal should be measurable and attainable. Success should not depend on outsize investment returns or impractical saving or spending requirements.
2) Develop a suitable asset allocation using broadly diversified funds: A sound investment strategy starts with an asset allocation befitting the portfolio's objective. The allocation should be built upon reasonable expectations for risk and returns and use diversified investments to avoid exposure to unnecessary risks.
3) Minimize cost: Markets are unpredictable. Costs are forever. The lower your costs, the greater your share of an investment's return. And research suggests that lower-cost investments have tended to outperform higher-cost alternatives. To hold onto even more of your return, manage for efficiency. You can't control the markets, but you can control the bite of costs and efficiency.
4) Maintain perspective and long-term discipline: Investing can provoke strong emotions. In the face of market turmoil, some investors may find themselves making impulsive decisions or, conversely, becoming paralyzed, unable to implement an investment strategy or rebalance a portfolio as needed. Discipline and perspective can help them remain committed to a long-term investment program through periods of market uncertainty.