Our ProcessInvestment Philosophy

As a Wealth Advisor, I am often asked: “What stocks do you like?”, “Where do you think the market is going?”, or whether I know the name of a mutual fund manager who knows when the next correction will happen.
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Back in 1971 Mac McQuown created a think tank of brilliant academic
heavyweights who were tasked to create the very first indexed portfolio.

Fast forward 50 years and that
innovation has evolved into an $11 trillion dollar industry.

Six of the original academic team members went on to win Nobel Prizes in Economics. Four of those Nobel Prize winners went on to work at Dimensional Fund Advisors in 1981. Today, under the wisdom of these academic giants, Dimensional manages over $650 billion in assets with over 1,400 staff in 13 global offices.

There are many firms who boast about having economists or a team of CFAs on staff; you probably will not find a team with more Nobel Laureates. Most financial professionals, especially those with credentials, were likely influenced by this group of men.

Why is this important?

While BayView is a boutique firm in the panhandle of Florida, we work together with Dimensional to derive, manage, and monitor the portfolios that we oversee. These great academic thinkers influence the people, processes and algorithms that translate into the composition of equity portfolios we have the privilege to manage.

These portfolios are influenced by years of academic research and empirical evidence. Please schedule an appointment to learn more about the research behind our investment philosophy.

A tribute to the 4 Nobel Prize winners mentioned above:

• Myron Scholes – Won the Nobel Laureate in Economics for the Black -Scholes options pricing model. He is the Frank E. Buck Professor of Finance, Emeritus, at the Stanford Graduate School.

• Eugene Fama – Currently a Professor at the University of Chicago, he is a Nobel Laureate in Economics and is widely recognized as the “father of modern finance.” His research is well known in both the academic and investment communities. He is strongly identified with research on markets, particularly the efficient markets hypothesis.

• Robert Merton – Currently teaches at MIT Sloan School of Management and is University Professor Emeritus at Harvard University. In 1997 Merton, together with Myron Scholes, were awarded the Nobel Prize in Economics for a method to determine the value of derivatives.

• Merton Miller – Miller passed on June 3, 2000 and was a Founding Dimensional Director. He was an economist and the co- author of the Modigliani–Miller theorem (1958), which proposed the irrelevance of debt-equity structure. He shared the Nobel Prize in Economic Sciences in 1990, along with Harry Markowitz and William F. Sharpe. Miller spent most of his academic career at the University of Chicago’s Booth School of Business.

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In USD. Indices are not available for direct investment. Their performance does not reflect the expenses associated with the management of an actual portfolio. US Small Cap is the CRSP 6–10 Index; US Large Cap is the S&P 500 Index. Treasury Bills is the IA SBBI US 30 Day TBill TR USD, provided by Ibbotson Associates via Morningstar Direct. Long-Term Government Bonds is the IA SBBI US LT Govt TR USD, provided by Ibbotson Associates via Morningstar Direct. US Inflation is measured as changes in the US Consumer Price Index. US Consumer Price Index data is provided by the US Department of Labor Bureau of Labor Statistics. CRSP data is provided by the Center for Research in Security Prices, University of Chicago. The S&P data is provided by S&P Dow Jones Indices LLC. Past performance is no guarantee of future results.

Destin Office
Main: 850-990-0618
Text: 850-367-0090
1234 Airport Road, Suite 121 Destin, FL 32541
St. Petersburg Office
Main: 727-369-6151
Text: 727-496-4963
200 Central Ave, 4th Floor, St. Petersburg, FL 33701
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All investing involves risk, including loss of principal. There is no guarantee the investment process will lead to profits. Past performance of any security or strategy is no guarantee or indication of future results or performance. Market conditions change continuously.

Advisory services offered by Investment Advisory Representatives of RFG Advisory, LLC  (“RFG Advisory” or “RFG”), a registered investment advisor. BayView Private Wealth and RFG Advisory are unaffiliated entities. Advisory services are only offered to clients or prospective clients where RFG Advisory and its representatives are properly licensed or exempt from licensure. No advisory services may be rendered by RFG Advisory unless a client agreement is in place.

RFG Advisory is an SEC-registered investment adviser. SEC registration does not constitute an endorsement of RFG by the Commission, nor does it indicate that RFG or any associated investment advisory representative has attained a particular level of skill or ability.

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Insurance products and services are offered through several insurance providers, including RFG Solutions LLC, an affiliated company of RFG Advisory.

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