Beyond the Benchmark: Custom Portfolio Engineering for High-Net-Worth Investors
- Anatoly Iofe
- May 21
- 4 min read
Unlocking Personalized Wealth Strategies Through Private Markets, Tax Optimization, and Alternatives
The traditional 60/40 portfolio — 60% equities and 40% bonds — has long served as a default investment model. But for affluent investors, this outdated strategy often falls short. It lacks access to private market opportunities, fails to optimize for tax efficiency, and doesn’t account for the growing need to diversify beyond public market volatility.
At IceBridge Financial Group, we specialize in custom portfolio engineering tailored specifically for wealthy investors. Our approach integrates private markets, direct investments, alternative assets, digital assets, tax optimization, and multi-asset strategies — all with the goal of enhancing returns, reducing volatility, and preserving wealth across generations.
The Limitations of the Traditional 60/40 Portfolio
While the 60/40 allocation was once effective, it is now increasingly unreliable in today’s complex financial environment. Rising interest rates, inflation, and geopolitical instability have reduced the inverse correlation between stocks and bonds — leaving investors exposed to broader market risks.
Key Weaknesses of the 60/40 Model:
Heavy reliance on public market performance
Lack of tax-efficient structuring
No access to private equity, real estate, or hedge fund strategies
Higher correlation during market stress periods
For sophisticated investors, moving beyond this model is essential to achieving meaningful long-term results.
Custom Portfolio Engineering: A Personalized Approach to Wealth
Every wealthy investor has unique goals, timelines, and constraints. That’s why our custom portfolios are built from the ground up. We don’t start with a model — we start with you.
Our Wealth Design Process Includes:
Risk profiling aligned with your business, family, and liquidity needs
Asset location strategies to minimize taxes across accounts
Estate and legacy planning integration for multigenerational success
Liquidity layering to balance short-term access and long-term growth
Entity-level structuring using trusts, LLCs, or holding companies
This holistic design philosophy empowers you to align your investments with your purpose, lifestyle, and long-term vision.
Private Market Access: A Key Advantage for Sophisticated Investors
One of the most powerful differentiators in custom portfolio design is direct access to private markets and alternative investments. These non-public opportunities can deliver superior risk-adjusted returns, income generation, and protection from public market volatility.
Examples of Private Market Investments:
Private equity and venture capital
Private credit and direct lending
Real estate (core, value-add, opportunistic)
Infrastructure and energy
Hedge funds and multi-strategy vehicles
Structured notes and special situations
Benefits of Alternative Investments:
Benefit | Description |
Higher potential returns | Access to alpha in inefficient markets |
Income generation | Private credit and real estate provide steady cash flow |
Inflation hedging | Real assets offer protection during inflationary cycles |
Access to innovation | Participate in disruptive technologies before IPO |
Because private assets are less liquid, they often offer an illiquidity premium — rewarding long-term investors with enhanced returns.
Multi-Asset Strategies: Layered and Resilient
A truly diversified portfolio isn’t just about owning more asset classes — it’s about integrating strategies that behave differently across market cycles. Our custom portfolio construction incorporates:
Global equities for long-term growth
Fixed income tailored to interest rate cycles and duration risk
Private investments for yield and diversification
Structured solutions for asymmetric return profiles
Cash management to ensure immediate liquidity
Opportunistic strategies to capture market dislocations
By combining these layers, we create portfolios built to weather uncertainty and deliver smoother long-term performance.
Tax Optimization: Maximizing After-Tax Wealth
Wealthy investors are particularly vulnerable to tax drag. That’s why every portfolio we design is built with tax efficiency at its core.
Our Tax-Aware Investment Strategies Include:
Asset location optimization (taxable vs. tax-deferred vs. tax-free accounts)
Tax-loss harvesting in separately managed accounts (SMAs)
Use of tax-advantaged vehicles like Private Placement Life Insurance (PPLI)
Charitable structures such as donor-advised funds (DAFs) and charitable remainder trusts (CRTs)
Trust planning to reduce estate taxes and protect family wealth
Smart tax strategy doesn’t just save money — it boosts returns and safeguards your legacy.
Direct Investments and Co-Investment Opportunities
Experienced investors are increasingly looking for transparency, control, and access.
Through direct deals and co-investments, we open doors to:
Private operating businesses
Real estate development projects
Club deals alongside other sophisticated investors
Co-investment structures with favorable terms
This approach eliminates unnecessary fund layers and gives you the ability to shape your investment exposure directly.
Volatility Control and Risk Management
Managing risk is not about avoiding market fluctuations — it’s about designing a portfolio that absorbs shocks and adapts intelligently. We use a variety of tools to protect capital and enhance long-term outcomes:
Portfolio insurance strategies
Dynamic rebalancing and risk-adjusted reallocation
Diversification across macroeconomic regimes
Tax loss harvesting
Stress testing and scenario analysis
Our goal is to ensure your portfolio performs well not only in good times — but also during dislocations and downturns.
Go Beyond the Benchmark and Build with Purpose
Today’s financial environment demands more than a cookie-cutter approach. For high-net-worth investors, success requires a strategic blend of private market access, customized portfolio engineering, tax efficiency, and multi-asset diversification.
At IceBridge Financial Group, we don’t benchmark against outdated models. We build portfolios designed around your life, your goals, and your future.
Ready to Customize Your Portfolio Beyond the 60/40 Model?
Schedule a private consultation here and discover how IceBridge Financial Group can help you unlock the full potential of your wealth through custom portfolio design.
Sources*:
*These organizations are not affiliated with IFG. IFG does not endorse, support, or recommend any information that is not provided by its affiliates or representatives.
Disclaimer:
Information provided is for informational purposes only, and does not constitute a financial advise, an offer or solicitation to sell, a solicitation of an offer to buy, any security or any other product or service. Accordingly, this document does not constitute investment advice or counsel or solicitation for investment in any security. The information in this material is not intended as tax or legal advice. Please consult legal or tax professionals for specific information regarding your individual situation.
