Matching Assets to plans in a low risk style.
We are a boutique investment advisory firm. We help you, whether as an individual, a foundation and or as part of a company, invest your assets. Our approach is simple. We study your commitments and invest according to them. We look at when you need funds, what kind of tax impact there might be and, when there is an emergency, what options are available. We do not subject you to the periodic fads which overtake the marketplace. We recommend long-term effectiveness rather than short-term speculation. Our mission and primary motivation is to help you match your assets with your commitments in a comfortable, low-risk way so that you can live better.
Our compensation structure is fee-based, in order to minimize misalignment between you and us. Further, our compensation does not include the widely used "profit participations" as we believe that these structures are excessively expensive. We believe that a "flat percentage of assets under management" fee is understandable, can be structured fairly and is likely to be mutually agreeable over the long run if the job is well done. To further protect against misalignment, we commit our own personal assets to the same portfolio stocks which we purchase for you. We believe that a good investment is a good investment, regardless of age, income or net worth.
We provide this website in order to deepen your understanding of our investment process. By providing planning interactive tools, recent research on companies purchased and specific commentary, we hope to provide you the investment confidence so critical in reducing emotional reactivity. You are an important partner in delivering superior results.
Let's start your plan.
Joel graduated from Baylor University with a BBA and MBA and is a Chartered Financial Analyst.
Charles graduated from Texas A&M University with a BBA in Accounting.
Scott graduated from the University of North Carolina at Chapel Hill with honors and is a Chartered Financial Analyst.
Trader - Operations
Derek graduated Summa Cum Laude from the University of Texas at Arlington with a BBA in Finance.
Robert graduated from the University of Texas with a BBA in Accounting and is a Certified Public Accountant.
Brings 25+ years experience in office administration, customer service and accounting.
Brings many years experience in office administration and customer service.
OUR ADVISORY APPROACH
Academy Capital Management's approach begins with several important principles. The first principle is liquidity. While illiquid investments, such as private placements, may yield higher returns at certain times, your portfolios are invested so that you may easily withdraw 100% of the funds in cash. There are no "lock-up" periods and no "gated" funds nor are there illiquid investments requiring a "like kind" distribution. The liquidity also means that the prices of portfolio investments are set by the market, not by the investment manager - as often occurs with illiquid investments.
The second principle is "margin of safety." Our focus means paying a reduced price which helps protect your capital against unforeseen risks. This reduced price provides a "margin of safety," causing us to see greater safety and better opportunities where others are only seeing lower prices. The volatility of markets are invaluable in our quest for a "margin of safety" and cause us to disagree with theories, such as Modern Portfolio Theory (MPT), which associate greater volatility with greater risk.
The third principle is matching liabilities with assets. You have goals with varying time horizons, ranging from short-term - such as tax payments, to intermediate - such as college funding, and long term - such as retirement funding. As we become aware of these differences, we identify which of our investments may be appropriate for you. The nature of your commitments determine our investment selection. We believe these commitments or liabilities best define your asset allocation by comparing the required distribution or growth rates with the yields that various portfolio investments generate, both historically and currently.
Based on these principles, we limit our investments to selecting opportunistically from money market accounts (MMA), U.S. government bonds (USG), U.S. government Treasury Inflation Protection securities (TIPS) and common stocks. We do not invest in commodities, because our preference is to invest in an asset class that is productive and does not depend on price rise potential. We do not invest in non-U.S. listed common stocks because we do not adequately understand foreign exchanges.
Each category of investments that we use has its respective merits. For goals which are short-term, we recommend MMAs and USGs, whereas for intermediate and long-term goals, we recommend a combination of TIPS and common stocks.
We communicate with you through a quarterly letter which discusses the current investing environment, our firm's investment results and our thoughts. These quarterly letters are supplemented with telephone calls, personal meetings and this website. By using the website, we make available to you resources that allow timely access to comprehending our process.
If you have greater clarity about our investment process, it is more likely that your emotions will not become an impediment to investment success. The internet also allows us to communicate efficiently with you while maintaining our focus on the investment process.