WEALTH MANAGEMENT

WEALTH MANAGEMENT AND INVESTMENT ADVISORY BASED ON DATA AND EXPERTISE

At Dominari Securities, our team of investment advisors work with you on custom portfolios to ensure your assets are cared for and secure.

An image showing a luxury yacht sailing in Porto Cervo, Sardinia

WE CRAFT CUSTOM WEALTH PLANS INTENDED TO HELP DEFEND FAMILIES FROM THE DESTRUCTIVE FORCE OF RARE, HISTORIC TAIL-RISK MARKET EVENTS. THE EFFECTIVE APPLICATION OF THIS PHILOSOPHY OVER TIME IS INTENDED AS MORE THAN JUST RISK MANAGEMENT, BUT THE MOST IMPORTANT SOURCE OF INVESTMENT OUT PERFORMANCE, OR ALPHA.

RESEARCH AND STRATEGY

Risk-based portfolio diagnostics, including legacy assets held across all firms

Investment policy development

Custom strategic and tactical allocation

Multi-asset portfolio construction including alternative investments and real estate

Objective manager research and bespoke investment analysis

Economic and market commentary

ANALYTICS AND REPORTING

Aggregated risk and performance reporting, to individual security level

All custodians including assets held at other firms; real estate, art, collectibles

Flexible, configurable reporting formats and secure provision of multiple users

A DISTINCT DIFFERENCE

For families and institutions with assets intended to endure across generations, mitigating the risk from severe wealth-destroying market events (known as tail-risk or fat-tail events) will prove over time to be the most important source of investment outperformance, or alpha. For this reason, we believe our first responsibility is to help defend clients from the full force of these events, and every element of Dominari Securities philosophy, process, and intellectual will is directed at this objective.


Toward accomplishing this, the chief elements are our asset allocation methodology, and the science behind our selection of third-party money managers approved to deliver the prescribed allocation. Together, these are what set our investment approach apart.

VOLATILITY IS TO BE TARGETED, NOT SIMPLY TOLERATED

The conventional approach to asset allocation has long started with the question, “What return do you want to achieve?” followed by the allocation of assets with the goal of delivering that bogey. Then, these return ambitions are modulated depending on the amount of risk or volatility the client is willing to tolerate. Volatility, under this approach, is treated as a distasteful by-product of your ambitions for gain over time.


We think this gets it backwards. Volatility shouldn’t be thought of as a consequence of returns, but as a driver of them. A growing body of academic research shows us that the relationship between asset volatilities and returns is relatively stable and can be forecast to a degree. For this reason, Dominari Securities portfolio design starts by targeting the specific level of volatility (risk) that best fits each client situation. We then we build your strategic portfolio, treating your risk target like a budget and apportioning how much of your total risk will come from various risk factors, such as economic growth or inflation.

PORTFOLIO CONSTRUCTION

To deliver on the strategic asset allocation, portfolios may be constructed using individual securities – stocks, bonds and ETFs –scrutinized and approved by the Investment Strategy Group or using third-party money managers.


When it comes to third-party managers, we maintain a thoroughly vetted Focus List of approximately 100 “best-in-breed” strategies, including mutual funds, separately managed accounts and private placements (hedge funds, private equity funds, co-investment opportunities).


In our selection of strategies we are strictly averse to conflicts of interest. We are not owned by a mutual fund or investment bank. We do not create or sell in-house investment products. Contrary to common practice, we do not accept fees to approve managers, nor to steer assets from one to another. Importantly, we do not operate at a scale that overwhelms the nimbleness of our managers nor requires us to approve mediocre managers in order to accommodate an oversized clientele.

 

1. Securities and Registered Investment Advisory Services offered through Dominari Securities LLC.

Share by: