First Houston Capital manages diversified portfolios that consist of individual stocks and bonds. We do not buy mutual funds or products managed by other companies. We believe that we create portfolios that are highly transparent and simple to understand.
Some level of cash is nearly always present in every portfolio and is kept in a money market fund until a better alternative is found. Except for these modest amounts of cash, however, we are nearly always fully invested.
We have different investment styles to fit every client’s goals and objectives as defined here:
FHC Growth and Income portfolios include equities that provide growth at a reasonable valuation. Portfolios may contain foreign securities but primarily own large U.S.-based companies. Growth is the primary consideration; income is secondary. The tax implications of selling a security are important.
FHC Equity Income includes stocks that provide growth at a reasonable valuation and above-average dividend yields. Portfolios may own foreign securities. The key aspect of this style of investing is that income is a primary consideration; capital appreciation is secondary. The tax implications of selling a security are important.
FHC Aggressive Growth portfolios buy stocks for appreciation and sell stocks short in anticipation of a decline. Portfolios may own foreign securities and are not constrained by market capitalization. This style of investing is focused on short-term trading which may produce volatile results. Absolute return drives the process. Tax implications are ignored.
The FHC Total Return Bond portfolios invest in high quality taxable fixed income securities, primarily corporate bonds. The investment objective is a high level of income consistent with preservation of capital.
We will be glad provide a list of our largest holdings upon request.