We have learned the challenges faced by most investors through our prior experience at investment advisory firms focused on active management, our roles on foundation and endowment boards, and our own personal experience as individual investors. As a result of these experiences, we believe that:
In addition, many investors have underperformed the market in recent years due in large part to (i) the tendency to chase yesterday’s outperforming manager or asset class, (ii) the lack of consistent portfolio oversight, (iii) poor market timing decisions, (iv) inadequate portfolio diversification, and (v) high management fees, transaction costs, and taxes. We formed BEC to address these challenges and believe that our investment approach and disciplined asset allocation process represents a new way forward in asset management.