A Note from Brandywine’s Founder & CEO

Brandywine is an established investment firm with a fresh perspective on research and trading. In my book Exploiting the Myths: Profiting from Wall Street’s misguided beliefs (which became an Amazon best seller under the popular title Jackass Investing: Don’t do it. Profit from it.), I expose the myth that investors can obtain portfolio diversification by spreading their money across positions in stocks, bonds and real estate.

In contrast, true portfolio diversification can only be obtained by balancing positions in multiple markets across multiple trading strategies that are each based on a distinct return driver. (A return driver is the primary underlying condition that drives the price of a market.) In this fashion no single economic or political event can adversely affect your portfolio. Better yet, your portfolio will have the potential to grow independently of market conditions.

Brandywine has more than 30 years of experience in creating truly diversified portfolios. It’s not a process that can be replicated overnight. Over that extensive period, Brandywine has developed and traded hundreds of separate trading strategies applied to more than 100 global markets. Some of these strategies take long-term positions based on underlying fundamentals or market trends, while others look at market sentiment, reactions to events, and arbitrage opportunities to capture mispricings in global financial and commodity markets. In all, Brandywine employs more than 1,000 strategy-market combinations.

The result of this true portfolio diversification is a “Free Lunch,” which I describe in the final chapter of my book. A Free Lunch is a portfolio that produces greater returns with less risk than a conventional portfolio. Brandywine’s Investment Programs are designed to provide true portfolio diversification, and a single investment in any of the Brandywine Investment Programs can immediately diversify your portfolio.

If you feel it is time for a change – time to replace your conventional poor-folio with a truly diversified portfolio – we look forward to helping you get started today.

 

Mike Dever
CEO & Director of Research
Brandywine Asset Management, Inc.