O'Higgins Asset Management

O'Higgins Asset Management delivers comprehensive investment management services to a sophisticated clientele. The firm offers both discretionary and non-discretionary asset management, employing strategies designed for consistent returns. Its approach integrates market analysis with disciplined portfolio construction, tailoring investment solutions to specific client objectives.

Established in 1978, the firm was founded by Michael B. O'Higgins, a recognized financial strategist. O'Higgins built the company on his innovative insights into market dynamics, notably developing the "Dogs of the Dow" dividend strategy. His background in financial research and quantitative analysis formed the bedrock of the firm's methodology.

O'Higgins Asset Management serves high-net-worth individuals, institutions, and other investment companies. The company’s vision centers on preserving and growing client capital through rigorous investment principles and adaptive strategies. It aims to remain a trusted partner in wealth stewardship, continually adapting its approach to dynamic market conditions.

# High-Level Overview

O'Higgins Asset Management, Inc. (OAM) is an independent, fee-based registered investment adviser that specializes in disciplined, value-based portfolio management.[1][3] The firm's core mission centers on delivering risk-adjusted returns through systematic asset allocation and security selection strategies, with a historical emphasis on achieving higher returns with lower volatility.[1]

The firm's investment philosophy is rooted in value investing principles, emphasizing undervalued assets across multiple classes—equities, precious metals, and U.S. Treasury instruments.[1] Rather than focusing on specific sectors, OAM applies a global, multi-asset approach designed to identify undervalued opportunities across liquid markets worldwide. The firm operates with a straightforward fee-based model and does not consider tax implications in individual investment decisions, instead prioritizing risk-adjusted returns as the path to optimal after-tax performance.[1]

# Origin Story

O'Higgins Asset Management was founded by individuals with deep investment expertise and financial planning credentials.[3] The firm brings together team members with combined investment management experience exceeding 75 years, including professionals with advanced degrees in economics and finance, as well as certifications as a CERTIFIED FINANCIAL PLANNER™ and Chartered Retirement Plan Counselor.[3] While specific founding details are limited in available sources, the firm's development reflects a commitment to independent, disciplined investment management grounded in value-based principles.

# Core Differentiators

OAM's competitive strengths center on its proprietary investment strategies:

• MOAR Strategy: Historically produces high returns with low volatility by diversifying across four asset classes—undervalued global stocks, precious metals, intermediate Treasury notes, and long-term Treasury bonds—with annual rebalancing.[1]

• Dogs of the World (DOTW): A bottom-up selection process identifying the most undervalued liquid stock markets from a universe of 30+ candidates, then applying traditional valuation criteria to select specific investment vehicles.[1]

• MOAR Plus: Allocates 50% to DOTW and 50% to precious metals or U.S. Treasury bonds in alternating 30-year cycles, offering a structured long-term approach.[1]

• Disciplined Security Selection: The firm focuses on liquid, blue-chip securities held for at least one year, emphasizing quality and stability.[1]

• Independent Structure: As a fee-based registered investment adviser, OAM operates without conflicts of interest inherent to commission-based models.[3]

# Role in the Broader Investment Landscape

O'Higgins Asset Management represents a niche but meaningful player in the value investing ecosystem. The firm's emphasis on global undervaluation and multi-asset diversification aligns with broader trends toward systematic, rules-based investing and the growing recognition that traditional geographic and sector-focused approaches may miss opportunities. The firm's focus on precious metals and Treasury instruments reflects a pragmatic approach to portfolio construction that acknowledges macroeconomic uncertainty and inflation risks.

By maintaining an independent, fee-based model and avoiding tax-driven decision-making, OAM positions itself against the grain of much of the wealth management industry, appealing to investors who prioritize long-term, risk-adjusted performance over short-term tax optimization or product-driven recommendations.

# Quick Take & Future Outlook

O'Higgins Asset Management's future relevance will likely depend on the continued performance of its value-oriented strategies in an environment where growth and momentum investing have dominated recent years. As markets potentially shift toward valuation-conscious investing and as global economic uncertainty persists, the firm's emphasis on undervalued international equities and diversified asset classes may gain renewed appeal.

The firm's disciplined, systematic approach—particularly the MOAR strategy's historical track record of balancing returns and volatility—positions it well for investors seeking alternatives to conventional wealth management. However, the firm's success will ultimately hinge on whether its value-based models continue to deliver the risk-adjusted returns that have historically defined its brand promise.[1]