Market turbulence often fuels uncertainty. But for high-net-worth individuals who have spent decades building wealth with intention, the solution isn’t found in reacting to headlines. It’s found in returning to your plan.
At TQM Wealth Partners, we recently hosted a client-exclusive webinar featuring Steve Huxley and Brent Burns, co-founders of Asset Dedication and pioneers in portfolio resilience. Together, we explored how a structured, research-based investment strategy—grounded in your goals—can serve as both a compass and a shield in unpredictable markets.
Below are some of the most compelling takeaways, tailored for families and individuals committed to preserving their legacy with purpose.
A Financial Plan Is More Than a Document—It’s Your Strategic Foundation
In challenging times, a financial plan is not just useful—it’s essential. At TQM, our comprehensive financial planning process helps you articulate your vision, quantify your goals, and map out a realistic path forward.
At the heart of our approach is your Critical Path—a customized projection that defines how your portfolio needs to perform to meet your future lifestyle and legacy objectives. This framework helps you stay focused, not fearful, even when markets fluctuate.
What Is Asset Dedication—and Why It Matters
Unlike generic asset allocation models, asset dedication aligns your investment strategy with your actual spending needs. It divides your portfolio into three purpose-driven components:
- Cash for immediate liquidity
- Individually selected bonds timed to match mid-term spending
- Equities for long-term growth and legacy planning
This structure ensures that you have the liquidity and predictability to avoid selling investments at inopportune times—an essential risk management tactic for wealth preservation.
Volatility Is Not the Enemy—It’s Part of the Process
Steve and Brent’s data, spanning nearly 100 years of U.S. market history, confirms what seasoned investors know: volatility is normal. Bear markets occur regularly. Recessions are cyclical. But the market, over time, has always trended upward.
The takeaway? Market timing doesn’t work. Attempting to predict short-term movements often leads to costly mistakes. Instead, the true advantage lies in building a portfolio that’s structurally prepared to endure—and rebound.
Time Is the Most Powerful Hedge
Trying to “beat the market” often creates more risk than reward. What’s far more effective? Structuring your investments to buy time.
By dedicating assets to specific time horizons, an asset dedication strategy ensures that your portfolio can withstand downturns without derailing your long-term strategy. With a clear cash flow strategy in place, you don’t need to sell during a downturn—giving your investments the time they need to recover.
This approach is especially valuable for clients focused on retirement strategies, legacy planning, and family wealth continuity.
The Critical Path: Replacing Emotion with Insight
Your Critical Path isn’t just a projection—it’s a decision-making tool. When markets shift, it tells us whether to “roll or not roll” income assets forward. If you’re ahead of plan, we may extend your bond ladder. If markets are down, we can pause and protect.
This is private wealth advisory at its most refined: real-time decisions grounded in data, not emotion.
Avoid the Noise: The Media Is Not Your Fiduciary
Unlike your adviser, the media isn’t accountable to your goals. Their job is to attract attention—not to preserve your wealth.
At TQM, we remind our clients that a steady hand comes from planning, not from watching headlines. This distinction is critical for high-net-worth families seeking stability in both market and mindset.
Why We’ve Moved Beyond the 60/40 Model
The conventional 60/40 asset allocation strategy—often used as a default in financial circles—lacks scientific backing. In fact, it originated as a statistical average of 401(k) participant portfolios, not as a strategic framework.
Our clients deserve better.
Through holistic planning and using an asset dedication strategy, we craft customized allocations based on your actual consumption needs, tax profile, philanthropic goals, and future income sources—not a generic formula.
Final Thought: In Investing, Purpose Leads to Peace of Mind
As Marcel Quiroga shared during the webinar, “Investing is like meditation. When you feel overwhelmed, return to your breath. In finance, return to your plan.”
That is the essence of our work at TQM. Your wealth exists to serve your values—your family, your community, your future. A customized, resilient investment strategy allows you to pursue growth confidently, knowing your foundation is strong.
Want to Go Deeper?
The full recording of our client webinar is available upon request. If you’d like to explore how your investment strategy supports your long-term goals—or how to implement an asset dedication strategy in your own plan—schedule a conversation with us.
Because true wealth management isn’t about reacting. It’s about leading with purpose.
Disclosure:
This blog is published by TQM Wealth Partners, a registered investment advisory firm. The content provided is for informational and educational purposes only and should not be considered investment, tax, or legal advice.
Investing involves risks, including the potential loss of principal. Past performance does not guarantee future results. Readers should consult with a qualified financial adviser before making any investment decisions.
Additionally, while we strive to provide accurate and up-to-date information, we make no warranties as to the accuracy, completeness, or reliability of the content provided.
Any references to specific securities, strategies, or investment approaches are for illustrative purposes only and should not be construed as an offer or solicitation to buy or sell any financial instrument.
