Westmount Financial’s Investment Philosophy…

Markets work

We believe that publicly available information is rapidly reflected in the prices of assets like shares and bonds. This means that, in practice, no amount of analysis can consistently give investors or fund managers an advantage over the vast number of others with access to the same data. While finding mispriced anomalies is possible, it’s rare—especially today, with technology enhancing market efficiency.

Although markets are "efficient," this doesn’t mean they’re always rational or that they always price assets accurately. In the short term, assets can be over- or under-valued. However, over time, asset prices tend to align closely with the earnings growth of the underlying investments.

Mix drives performance

Extensive evidence suggests that most of an investor’s long-term gains (or losses) result from the ‘asset allocation’ within their portfolio, rather than from individual investments or market timing.

We prioritize factors within our control, such as asset allocation. Understanding your comfort with risk and volatility, alongside your financial and lifestyle goals, allows us to design a strategy—whether for investment, superannuation, or retirement—that suits you both financially and emotionally.

Cost matters

In the pursuit of stronger investment results, costs are sometimes overlooked, yet they can significantly erode value over time. Where feasible, we favor financial products and platforms that deliver consistent, long-term performance at lower costs. While you may not always control returns, you can control costs, and over time, it makes a difference.

Rick Maggi CFP, Westmount Financial, Financial Advisor (Perth)