>> My name is Jeff Coons.
I'm President of Manning and Napier which
is an investment firm in Rochester, NY.
I manage about $40 billion in assets.
Hi net worth individuals, varieties
and institutions from pension plans,
401(k) plans to endowments in foundations
and in all cases we are managing
to try to achieve a goal or objective.
About half of our assets were blending stocks
and bonds together to achieve those goals.
In other cases we play a narrow role of
either an equity manager or a bond manger.
So the investment process really starts with the
client, understanding their needs, their goals,
their liabilities, establishing what
would be a most appropriate prioritization
of different types of investment
risks and then ultimately trying
to build an investment strategy
that is going to achieve those goals
and objectives and cover those liabilities.
So step number 1 is setting objectives.
Step number 2 then is once you have those
objectives assessing the current market
environment and what's the best
way to achieve those goals,
what's the proper allocation among
different types of asset classes.
And then ultimately you're making
individual investment decisions.
So you're analyzing individual stocks and bonds,
making sure the risk return tradeoff
is appropriate for the client
and also favorable in the overall environment.
And then the tail end of that process, as you
build this portfolio security by security is
to monitor that performance and ensure that
you're achieving those goals and objectives
and that brings you back to the client
that feedback loop to talk to them
about what the results were relative
to what they were trying to achieve.