Since 1992

Investing Philosophy

Our approach to managed risk investing

Our Core Philosophy

Capture 75% of up markets

Avoid 75% of down markets

At Bills Asset Management, we believe that successful long-term investing isn't just about maximizing gains—it's about managing risk. While many investors and advisors subscribe to a buy-and-hold philosophy, we've seen time and again how this approach can devastate portfolios during market downturns.

Consider this simple math: if your portfolio loses 50%, you need a 100% gain just to break even. This is why capital preservation is at the heart of everything we do.

Active/Dynamic Tactical Investing

Unlike passive strategies that remain invested regardless of market conditions, our tactical approach allows us to:

  • Increase exposure to equities when market conditions are favorable
  • Reduce exposure and move to defensive positions when risks increase
  • Rebalance portfolios based on changing economic indicators
  • Capitalize on opportunities across different asset classes

This flexibility is key to our ability to participate in market gains while protecting against significant losses.

The Power of Loss Prevention

-50%

A 50% loss requires

+100% to recover

-30%

A 30% loss requires

+43% to recover

-10%

A 10% loss requires

+11% to recover

Key Investment Principles

Capital Preservation

Protecting your principal is our first priority

Risk Management

Active monitoring and adjustment of portfolio risk

Growth Participation

Positioned to capture gains in rising markets

Fee-Only Structure

No commissions, aligned with your interests

Our Investment Approach

We use a combination of exchange-traded funds (ETFs) and mutual funds, with the bulk of our portfolios invested in ETFs. Our investment decisions are based on careful analysis of:

  • Market trends and technical indicators
  • Economic data and leading indicators
  • Sector performance and rotation patterns
  • Risk/reward assessments for various asset classes

By staying nimble and responsive to changing conditions, we aim to deliver consistent, risk-adjusted returns that help our clients achieve their long-term financial objectives.

Sleep Better at Night

Learn how our managed risk approach can help protect and grow your portfolio.