OUR INVESTMENT PROCESS
At MainStreet Advisors, our investment process is designed to provide a solid foundation for long-term success. We use a disciplined team-based approach to build and manage diversified portfolios that are aligned with the objectives of our clients.
Key elements include:
Goals and Objectives / Asset Allocation / Security Selection / Portfolio Construction / Portfolio Monitoring
We focus on minimizing costs and emphasize asset allocation as the most important long-term driver of portfolio returns.
Our Investment Committee structure fosters collaboration to align portfolio design and outcomes with client expectations:
Asset Allocation Team: Defines the optimal asset mix and sets strategic targets for client objectives.
Equity Team: Develops and monitors concentrated, low-turnover equity portfolios based on thorough research.
Fixed Income Team: Constructs diversified, high-quality fixed income allocations focused on income and liquidity.
Funds Team: Conducts rigorous due diligence and ongoing evaluations of mutual funds and ETFs in our portfolios.
STEP 1: ASSET ALLOCATION
The MainStreet Advisors investment team utilizes historical data and forward-looking estimates to recommend a strategic distribution asset classes across an investment portfolio, including equity, fixed income, alternatives, and cash. These recommended asset class mixes are informed by your client’s financial goals, risk tolerance, and investment horizon. At MainStreet Advisors, we focus on customized asset allocation tailored to each client’s objectives and risk preferences. We rigorously analyze and adjust recommended portfolios to adapt to evolving needs, ensuring alignment with long-term financial goals while effectively managing risk. Discover how our tailored asset allocation strategy can benefit your clients. Contact us to discuss how we can work together.
STEP 2: SECURITY SELECTION
Our investment team aims to identify the most suitable securities for our clients’ portfolios within each asset class, considering expected return, risk, and operational characteristics. We begin by exploring a wide range of potential investments, then meticulously screen and refine this selection to a focused group of high-quality options. Each security is reviewed on an ongoing basis to ensure it fulfills its specific role within the portfolio. Our method is grounded in fundamental analysis, evaluating each security’s intrinsic value through its financial health, management quality, and growth potential. This thorough assessment ensures that the chosen investments align with your clients’ unique needs and support their financial goals.
STEP 3: PORTFOLIO CONSTRUCTION
Once an asset allocation plan is in place, the portfolio management team at MainStreet Advisors concentrates on constructing portfolios by selecting securities from each asset class that are most well suited to help our clients to achieve their long-term goals. Our Investment Committee and its subcommittees are integral to this process, generating investment ideas, performing comprehensive research and analysis, and assessing risk and return parameters. This collaborative approach ensures all team members play a role in the process and that asset allocation and security selection decisions are carefully crafted to align with clients’ investment objectives.
OUR MODEL PORTFOLIOS
Explore our diverse approaches to portfolio management, including mutual funds, ETFs, Separate Account Management, Managed Funds (Manager Select), and Direct Indexing. Each method offers unique advantages, from tailored customization and direct ownership to broad diversification and expert oversight.
Discover how our asset classes can work for you and your clients.
