Money Management

Goodman Financial employs an investment philosophy emphasizing portfolio management
that is custom tailored to the needs of each client.

We begin the investment process by carefully listening to the client and gaining a thorough understanding of the client's unique goals, risk tolerance, time horizon, and other circumstances. We then determine an appropriate investment strategy for the client based on those understandings. Furthermore, personalizing the portfolio takes into consideration individual client preferences such as social investing, concentrated positions, existing holdings, taxes, and other considerations.

The investment strategy provides a framework for determining the asset allocation that properly balances risk and reward over a long-term time horizon. We then implement the strategy to achieve the client's investment objectives. Although strategies may be changed if necessary, adhering to the allocation over the determined time horizon seeks to provide enhanced portfolio returns with reduced volatility.

Each portfolio is actively managed in a separately managed account. We use a dynamic and disciplined investment approach in selecting equity and fixed income securities. This approach allows for greater flexibility, maximum tax efficiency, and lower expenses. Therefore, with limited exceptions, Goodman Financial does not utilize mutual funds thereby avoiding inefficiencies and additional layers of fees.

Our security selection process seeks to maximize growth while remaining within the risk tolerance level of each client. Capital preservation, however, is also an important consideration of our investment philosophy. We believe it is inappropriate to take unwarranted risk in both portfolio structure and individual securities. Portfolio turnover is minimal in accordance with tax efficiency; however, we continuously review investment alternatives and implement changes when more attractive opportunities become available to maximize total return.

Communication efforts continue throughout the relationship. Although we recommend a portfolio review be held at least annually with the client, we encourage contact and communication believing that open and frequent communication is an essential element of our service. We welcome the opportunity to visit with clients, their accountants, and any legal counsel.