Who is Southport Capital?
At Southport Capital, we understand the unique challenges that come with managing wealth. For more than 25 years, we have served as a trusted partner of individuals, families, and institutions, providing wealth management guidance and solutions based on a thorough understanding of each client’s situation and goals.
We bring proven expertise to bear on every aspect of a client’s wealth – from accumulation and growth through preservation and distribution.
By taking an objective and proactive approach that reflects the nuances and complexities of each situation, we continue to build trusted relationships.
What is Southport Capital's investment approach?
We are equity rooted, providing active portfolio management for our valued clients. We invest in predominately mid to large-cap domestic companies whose names and products are recognized around the world. We are not solely a growth manager or a value manager. We are both as we seek great growth companies at reasonable valuations. We are independent yet have access to many of the world’s greatest equity research organizations. Our approach to individual stock selection is to research the research which greatly leverages our time and allows us to better focus on service to our clients.
We are flexible to the needs of each of our clients as each is different. We believe that protecting assets is as important as building assets. We will hedge risk for our clients while seeking long-term capital appreciation within an asset allocation framework of stocks, bonds, ETF’s and cash that best fits their needs and risk tolerances. We do not advocate a buy and hold equity strategy, rather we believe in constant research and technical review where the sell-side decision is as important as the buy-side research. We look to sell covered call options on many of our equity positions to best manage price fluctuations and enhance income for our clients. We will also sell/write put options for immediate cash returns and to potentially gain better entry points for our positions, along with purchasing put options for added down-side protection when warranted.
We do not believe that investors, on a regular basis, can either time the market or predict the best performing sectors. Accordingly, we generally believe in staying fully invested in our equity portfolios using a diversified weighted sector approach, but within an overall framework of our client’s goals, objectives and risk tolerances.
How is Southport Capital different than other money managers?
Recognizing that no two clients are alike, we take the time to listen and to understand your particular circumstances, goals, and aspirations. This understanding serves as the basis from which we develop an integrated plan that addresses every facet of your wealth. Our comprehensive approach is designed to create a plan that achieves your short and long-term goals.
When crafting an integrated wealth management plan, we draw on our expertise and the expertise of 3rd party professionals in the following areas:
• Financial planning
• Retirement income planning
• Estate planning
• Tax planning
• Business succession
• Intergenerational wealth transfer
What services does Southport Capital offer its private clients?
Southport Capital aims in providing personalized service to each client as we manage their separate accounts. All Southport Capital’s clients have a Financial Advisor focused on servicing their individual needs. We are proactive in our communication and focus on tailoring each account based on your long term needs and goals. Quarterly statements are provided by our team.
Who makes the investment decisions for the individual accounts?
As our client, you will benefit from a collaborative relationship that addresses and anticipates your needs. We follow a rigorous and disciplined wealth management process that provides a structured approach while allowing for careful customization as your unique needs and situation dictate.
1: Understand Your Goals:
• Together, we define your needs, goals, and risk profile.
2: Create A Plan
• We determine the appropriate allocation of assets to realize your particular objectives.
3: Craft Your Portfolio
• We identify the specific investments that align with and support your strategy.
4: Stay On Course:
• We assess performance on a regular basis, making changes and refinements to your portfolio and strategy as needed.
What is the difference between ETFs and mutual funds?
A key difference is that most ETFs are index-tracking, meaning that they try to match the returns and price movements of an index, such as the S&P 500, by assembling a portfolio that matches the index constituents as closely as possible. The ETF providers, however, want the price of the ETF (set by trades within the day) to align as closely as possible to the net asset value of the index. To do this, they adjust the supply of shares by creating new shares or redeeming old shares. Price too high? ETF providers will create more supply to bring it back down. All of this can be executed with a computer program, untouched by human hands.
The ETF structure results in more tax efficiency. Investors in ETFs and mutual funds are taxed each year based on the gains and losses incurred within the portfolios, but ETFs engage in less internal trading, and less trading creates fewer taxable events (the creation and redemption mechanism of an ETF reduces the need for selling). So unless you invest through a 401(k) or other tax-favored vehicles, your mutual funds will distribute taxable gains to you, even if you simply held the shares. Meanwhile, with an all-ETF portfolio, the tax will generally be an issue only if and when you sell the shares.
Mutual funds can track indexes, but most are actively managed. In that case, the people who run them pick a variety of holdings to try to beat the index that they judge their performance against.
Mutual funds and ETFs are both open-ended. That means that the number of outstanding shares can be adjusted up or down in response to supply and demand.
Have more questions? Contact one of our advisors.
What is the best way to contact Southport Capital?
For more information on management of separate account investment services click here to contact us. We look forward to having the opportunity to discuss your individual needs and objectives.