St. Therese Financial LLC’s investment philosophy, at its core, is designed to optimize a client’s returns while still being in line with their risk tolerance. We are here to create a portfolio strategy that works for you whether it be a diversified portfolio of ETFs, an all-stock portfolio with US Treasuries for fixed income, or anything in-between. Best of all, you are receiving a portfolio that aligns with your values and honors God.
Portfolios are typically invested in one of the following categories:
• Equities
• Fixed Income
• Alternatives
• Cash
Equities will include individual stocks, ETFs, and on occasion mutual funds. We typically prefer to use ETFs but, mutual funds may be invested in from time to time.
• Individual stocks are mainly analyzed through a Benjamin Graham style of investing called, Value investing (buying stocks below their intrinsic value). However, stocks may be purchased for other reasons from time to time.
• ETFs are used to supplement stock portfolios or create diversified portfolios using Modern Portfolio Theory. The ETFs are purchased for various reasons but, to ultimately provide financial value to the client’s portfolio. ETFs are typically preferred over mutual funds but, mutual funds can be purchased from time to time if the opportunity is correct.
Fixed Income will include individual bonds (US Treasury, municipal, corporate, etc.), CDs, and money market. Typically, CDs are purchased from 5-star Bauer Rating banks that are FDIC insured, and bonds are purchased from either US Treasury or bonds that have a Moody’s rating of Aa1 or higher and/or a S&P rating of AA+ or higher. Ones with less ratings may be purchased from time to time if there is an opportunity that provides value to the client.
Alternatives are always liquid as St. Therese Financial LLC does not invest in illiquid alternative investments for clients.
Cash is usually about 1% of the portfolio unless the client requests otherwise.
All investments are independently researched and selected by Brennen Schmertmann.
