LHA believes that complacency in a market with rising returns will lead to losses in a market with declining returns, and reliance on style-box, buy-and-hold investing doesn’t represent diversification and it can be a recipe for cyclical set-backs, potentially even disasters.
The trilogy of stocks, bonds, and cash in style-box allocation models has failed to provide diversification benefits in times of stress and volatility. The essence of successful investing is a focus on alpha in the short-term, mid-term and long-term. If beta offers favorable performance, amplification of beta is a good source of alpha. If beta is a drain on a portfolio’s performance, reducing beta exposure is also a good source of alpha.
LHA solutions are designed to provide diversification away from style-box portfolios for institutional investors, financial advisors, and portfolio managers seeking to differentiate from their peers, protect assets, and enhance performance.
LHA's pedigree is in the discovery of strategies and managers with sophisticated systematic approaches to diversification, alpha production and risk management. LHA has mature strategies applied in innovative structures designed to meet the challenges of institutional investors, financial advisors, and portfolio managers.