CREATING INVESTMENT SUCCESS STORIES

1. Most capital markets are highly efficient. Outperforming them is difficult and means increasing risk and costs. Many investors rationally seek these returns, but caution is essential.
2. Risk matters. Risk control can avoid painful surprises and ensure that an investment program is maintained during difficult periods.
3. Costs matter. They matter so much that they can mean the difference between success or failure. In particular, if the portfolio pays taxes, tax efficiency is paramount.

These observations are at the foundation of all Parametric investment products. They are not controversial, but Parametric is unique in the degree to which these observations shape us.

Our observations and experience lead us to an investment philosophy we call structured portfolio management. Parametric portfolio managers act as investment "engineers"—quantitatively creating portfolios with explicit risk and return targets and continually measuring and managing the impact of relevant costs.

The arithmetic of investing is unforgiving.
Costs are certain, volatility dampens growth, and returns are difficult to predict. This sobering reality means long-term investment success is very often the result of portfolio structure and attention to detail. Providing this acumen is our mission - as we work hard to further the goals of investors and the advisors who serve them.

Our clients are comforted by the fact that we've been setting the standard in quantitative investing for 20 years. Importantly, we're equally known for delivering services beyond the numbers—such as custom portfolio design, portfolio transitions, individualized reporting, and consultative client service—that are demanded by investors with complex needs.