Analyzing Concentrated Holdings
“Too often, decisions about how to manage a concentrated position are based on gut instinct. Our process quantifies the risks and benefits of each option and provides the basis for sound decision making.”
— Client Advisor and Director of Structured Solutions
For many wealthy families, concentrated holdings are a source of pride and a symbol of success. Yet owning a large position in a single stock exposes investors to greater volatility and risk of unusually large losses. Bessemer can help you develop a smart, tax-efficient strategy for managing concentrated positions by considering both the unique characteristics of the stock and your individual circumstances.
Bessemer’s proprietary quantitative tool analyzes the tradeoffs between holding the position and pursuing several alternatives, including selling and reinvesting, hedging, and charitable giving. All of this can help you make informed decisions about how to most effectively manage a large single-stock position.
To learn more about how we can help you manage a concentrated position, visit: