Buying Strength, Selling Weakness
Our equity investment strategies are based on buying strength and selling weakness. We use rule-based models that we have developed to analyze market data and multiple asset classes to determine what to buy, when to buy, what to sell, and when to sell.
Decisions Driven by Data, Not Predictions
The approach we take does not require us to predict market direction or what event(s) are bullish or bearish for the market. Our approach is one that uses technical and fundamental analysis to objectively interpret the probability of risk versus reward for our clients’ assets.
Risk Management Through Diversified Equity Allocation
At NICH Capital Partners, we believe that risk management is every bit as important as investment selection. In addition to fundamental and technical analysis, we seek to reduce risk by diversifying equity portfolios among a maximum of 10 to 20 individual stocks, taking care to limit concentration in any one sector or industry.
Using Liquidity to Navigate Market Volatility
Because our goal is to maximize an absolute return strategy, we will use liquid assets in times when the markets are extremely volatile or our research determines that the rewards-to-risk ratio is not in our favor.
Managing Downside Risk Through Timely Exits
At NICH Capital Partners, we utilize clearly defined sales criteria to realize profits and protect against significant losses. While we are long-term investors, we believe disciplined sell criteria are a critical component of successful portfolio management. We will sell any position where there is a significant negative change in the company’s outlook or the overall market turns negative and the downside risk is greater than potential growth.