Gary Perron

For generations, the concept of diversification was viewed as the cornerstone of smart investing. By allocating capital across different asset classes—such as stocks, bonds, real estate, and commodities—investors can supposedly reduce overall risk while maintaining exposure to growth. This approach, popularized by Modern Portfolio Theory , has shaped the construction of both individual and institutional portfolios. However, as financial markets have become more intertwined, traditional diversification strategies are facing new challenges. Modern economic shocks no longer isolate themselves to specific sectors or asset classes. Instead, they ripple across the globe, triggering unified reactions from various markets. In such a landscape, it’s becoming clear that diversification, in its traditional form, no longer guarantees portfolio safety. Interconnected Markets and Simultaneous Declines When Correlations Increase Across All Assets The core principle behind diversification relies on th...

Bank-owned investment services are often considered a convenient and secure way to manage wealth. With a broad range of financial products and the reputation of established banks, these services seem like a natural choice for many investors. However, beneath the surface, there are hidden costs that can erode your returns and limit your investment opportunities. In this article, we will uncover these hidden costs and why clients must understand them before committing to these services. Unseen Management and Maintenance Fees One of the most common hidden costs of bank-owned investment services is the array of management and maintenance fees. While these fees are typically disclosed, they are often buried in fine print, making them easy to overlook. Banks charge fees for managing your investment accounts, maintaining records, and providing regular reports. Although these fees seem minor on a case-by-case basis, they can compound over time. A small percentage taken annually can result in ...

Affluent families often believe their wealth makes them immune to financial pitfalls. While having significant assets certainly provides more flexibility, it does not shield them from mistakes in planning. Overlooking details such as timing withdrawals, accounting for inflation, or assuming perpetual growth in certain investments can gradually erode wealth. The danger lies in complacency. Even with millions in assets, affluent households can fall short if they do not factor in long-term risks and changing circumstances. True financial immunity comes not from the size of the fortune but from the rigor of the planning that supports it. Mismanagement of Cash Flow Many wealthy families think cash flow management is only an issue for middle-income households. In reality, even large estates can face liquidity problems if income sources and expenses are not carefully balanced. Luxury spending, philanthropy, and investment commitments can quickly deplete cash if not monitored against predicta...