NSCapital_The-New-Standard-in-Portfolio-

Keys to Success:
Change the Status Quo
Raise Your Standards

NS Capital was formed in 2010 to offer a new standard of investment advisory and portfolio management services. Everything we offer has been developed and paid for using our own resources. That fact means that we have no third-party affiliations that could influence or distort our independence and objectivity. This makes it possible for NS Capital - unencumbered by the legacy thinking and conflicts of the status quo financial services industry - to offer fully transparent and conflict-free investment advice and portfolios to individuals and small businesses. 

NS Capital was formed to address specific problems that are endemic in financial services:

    -    Lack of independent and objective research 

    -    Conflicts of Interest and the lack of transparency 

    -    Biased portfolio construction

    -    Pricing 

As Fiduciaries and being an independent employee owned firm our only loyalty is to our clients and success is solely dependent on client outcomes, so unlike much of the financial services industry, we succeed not off clients but with our clients.

The New Standard in Portfolio Management 

NS Capital porfolio management background

Portfolio Management is the Foundation of Financial Wellness

There are many facets to achieving long term financial wellness: portfolio management, financial planning, tax planning and estate planning. All are important components, but not equal in their impact on financial wellness. NS Capital believes that high-quality portfolio management–how your assets are managed and what you pay–is the critical component for long-term financial wellness. It is the foundation upon which all other facets are based.

After we complete our advisory phase–which determines the wants and needs of each client–NS Capital focuses on portfolio construction and asset management exclusively. We are not a generalist firm because we know that high-quality portfolio management requires constant attention, which cannot be said of the other facets. This in no way negates the value of the other facets; but our approach is to partner with subject matter experts who also are focused solely on their specific discipline as we are on ours.

Planning decisions are event driven and require periodic attention.

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Four Principles for Investment Success

1. Recognize the Two Types of Asset Management

  • PROFESSION

  • BUSINESS​​

 

2. Identify the Two Types of Advice

  • REGISTERED INVESTMENT ADVISOR (RIA)

  • REGISTERED REPRESENTATIVE (RR)

 

3. Understand the Two Factors That Impact Performance

  • SKILL

  • COST

 

4. Demand Full Transparency

  • WHAT ARE ALL THE FEES AND COSTS?

  • WHAT ARE THE CONFLICTS OF INTERESTS?

  • IS THERE CURRENT AND PAST LITIGATION?

  • IS THERE AN ALIGNMENT OF INTEREST?

When it comes to asset and portfolio management,
nothing is static–there are no one-time decisions.

Portfolio Construction

The ideal portfolio strikes a balance of safety and certainty on the one hand and aggressiveness and gains seeking on the other. 

A Well-Constructed Portfolio Should​

  • BE A PORTFOLIO THAT CAN BE UNDERSTOOD

  • HAVE THE ABILITY TO COMBINE MULTIPLE STRATEGIES 

  • BLEND PASSIVE AND ACTIVE MANAGEMENT IN AN INTELLIGENT WAY

  • CORRELATE FEES TO VALUE

NS Capital’s primary job is to manage our client’s relationship to the capital markets and to protect against the risk of emotional decisions during times of turmoil. When NS Capital is hired it is not just to construct the portfolio based on the needs, wants and goals of a client at a specific point in time; it is also to change the portfolio when warranted–that can be from an investment standpoint or from the standpoint that a client’s circumstances change.  

Investing for Safety
and Certainty

Interest rates have been at historical lows with limited prospects for significant increases going forward. Investments that promise high income come with embedded risks that we do not feel are worth the reward. Bonds do not offer the combination of income and stability that they have in the past. This is why NS Capital, for this point in time, created the Shorter-Term Fixed Income Portfolio to be more focused on safety and certainty than anything else. It is designed to provide investors with a liquid, conservative portfolio that offers the potential for better total return than Money Markets and CDs, but without taking significant risk.

TYPE OF MANAGEMENT
Exchange Traded
Funds (ETFs)

Shorter-Term

Fixed Income

Passive
ASSET
FEE
ADVISORY
FEE
0.10%
0.20%

Hypothetical Stress Test

A back-test of historical performance to help illustrate how the Shorter-Term Fixed Income portfolio can provide returns that are non-correlated to equity markets

RETURN

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For illustrative purposes only. See disclosures for an explanation of each “stress event” referenced above.

Current Holdings *

88% Safety & Certainty

VGSH

Vanguard
Short-Term Treasury
50%

IGSB

iShares
Short-Term Corp Bond
37%

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12% Total Return Enhancement

TIPX

SPDR
1-10 Yr

TIPS
3%

 

EMB

iShares
Emerging Markets Bond
3%

FALN

iShares

Fallen Angels

Bond

3%

 

HYMB

SPDR
High Yield

Muni

3%​

STATS

Duration

Average Credit Quality

2.3

A

* Current Holdings as of December 19, 2020. The securities identified and described do not represent all of the securities purchased, sold or recommended for client accounts.  The reader should not assume that an investment in the securities identified was or will be profitable.

Investing for Gains Seeking

Timeframe

No one should invest in equities without a longer term horizon, PERIOD!

The safety and certainty portion of the portfolio should serve as a volatility mitigator because the pathway to superior long-term returns demands that the investor be able to stay emotionally detached from the “ups and downs” that will occur in the stock market. You can’t expect consistent results if you are seeking higher returns because only with full market volatility will you get full market returns. 

NS Capital Equity Investing

NS Capital employs two approaches to equity investing:

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“The stock market is a device to transfer money from the impatient to the patient.” 
 
—Warren Buffett    

NS Capital Portfolio Methodology

AN INTELLIGENT BLEND OF PASSIVE AND ACTIVE MANAGEMENT WITH CORRELATED FEES CREATES A WEALTH BUILDING ADVANTAGE

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Beta Core

 

THE BETA CORE IS A PASSIVELY MANAGED EQUITY PORTFOLIO WHICH TAKES WHAT THE MARKETS GIVE US

Alpha Ring

 

THE ALPHA RING IS AN ACTIVELY MANAGED GLOBAL EQUITY PORTFOLIO  WHICH SEEKS
LONG-TERM OUT PERFORMANCE

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