Dightman Captial Group
We manage adaptive investment strategies for individual investors, as part of a comprehensive planning environment, designed to protect capital in sustained market contractions and grow capital during market expansions.

Market & Economic Summary

  

Dightman Capital believes one of the key to success in today's environment is to remove entrenched investment biases and implement an adaptive investment process and execution ability. 

The following is our opinion of near-term market and economic conditions.

SPRING 2012

GLOBAL INVESTMENTS
After a very strong rally in Q1, which was a continuation from Q4 2011, stocks have come under selling pressure.  A normal market correction should be expected but investors may want to be on guard for a more sustained market decline given the fragile nature of the current environment. 

WORLD ECONOMY
The Data coming out on the global economy still poses serious challenges.   The debt crisis in Europe could eventually pose liquidity challenges.  Unemployment in the U.S. remains elevated but appears to be improving somewhat.

INFLATION DATA
We believe broad inflation will remain stable for goods and services measured by the Consumer Price Index.  There are risks of elevated prices in select categories like education, healthcare and energy.  Despite current U.S. monetary policy, inflation is likely to be held in check until National Income and Capacity Utilization have increased.  As developed country economies continue to reduce debt levels, deflation in stocks, real estate and commodities may continue.

U.S. RESIDENTIAL HOUSING
It appears housing may be stabilizing in some markets but price recovery may be slow. 

PLANNING
New conversion rules for ROTH IRAs allow high income households an opportunity to fund this unique tax treatment retirement account.

Concentrated Stock Strategies

You have worked hard to build your wealth and find yourself with the benefits of stock ownership as an executive or director in a publicly traded company but there are challenges to diversifing your position.  Aside from the unintended emotional characteristics tied directly to the company and the volatile nature of stocks, company and regulatory rules may restrict your ability to transact in public markets. Possible liquidity restrictions include: Lock-out Period, Black-out Dates, Rule 144, and other considerations.

Depending on your circumstances, the SEC has adopted a rule that provides limited safe harbor to individuals that closely follow it. Even better, the rule is relatively easy to understand, establish, and administer offering a new tool for insiders to create liquidity from stock and option holdings.

For those individuals interested in exploring the benefits of diversifying their personal wealth tied to concentrated stock or option holdings, Dightman Capital can help you explore possible solutions. The principal Investment Officer at Dightman Capital has advised and implemented diversification strategies for Section 16 Officers, S-3 Registrations, Initial Public Offerings, and other concentrated stock and option holders. Potentially even more important, Dightman Capital avoids direct association with capital market underwriters or research analyst often found with Wall Street firms and banks.