Recently, Vision Magazine featured AM Global Family Investment Office in a profile story. The piece describes how the firm was built and how the investment philosophy of AM Global was formed through the experiences of its Co-Founders Andrew Mehalko and Steve Barimo.
Vision Magazine reporter Neil Cote interviewed Mehalko and Barimo just as market volatility was picking up, so naturally, volatility and its impact on portfolios was also part of their conversation.
“After January and February, the markets became more volatile, and global equity markets went south before the end of the first quarter. Bond markets also struggled, as the Fed continued its path toward incrementally higher interest rates. The president’s talk of tariffs was blamed for causing more market instability,” writes Cote. “While many firms may feel anxious with such market activity, the AM Global investment philosophy was built to withstand such market occurrences. In fact, Barimo and Mehalko often cite the market volatility as an opportunity for hedged strategies. Any investment period is bound to carry variables, they remind, and the first few months of 2018 really weren’t unlike what they had seen before.”
“It’s better to apologize about making them a little less money than for losing them a bunch,” says Mehalko. “It’s OK if we don’t capture everything when the markets get a little crazy. Our clients are already wealthy and we’re not going to expose them to big losses.”
Through the interview with the co-founders and lifelong friends, Cote learned what differentiates AM Global from others in their industry.
“Since they are invested alongside the families with whom they work, they are particularly careful and use the same investment strategies they recommend to their clients. The fee-only business model ensures that the firm only prospers if the clients do,” writes Cotes.
“If I was to say what sets us apart from other firms, it would be our transparency and independence,” summarizes Barimo. “It’s independence from financial conflicts with clients, not hitting them with hidden fees or having to sell them products. We are also independent from the investment managers we invest with, which means we can hire or fire a manager solely based on merit and judgement.”
To read more, see the full Vision Magazine article here.