Investment Advice
Single Stock Risk Management
Concentrated equity can create substantial wealth. Managing the resulting exposure requires a coordinated strategy for risk, liquidity, taxes, and long-term ownership.
Our Perspective
A Deliberate Plan for Concentrated Wealth
Founders, executives, early investors, and family shareholders often hold positions whose financial significance extends beyond the portfolio. Galleon evaluates the security alongside employment, contractual restrictions, cash-flow needs, tax basis, estate objectives, and the client’s continued conviction in the business.
Decision Framework
Manage Exposure Without Losing Perspective
Exposure Analysis
Measure the position’s contribution to total wealth, portfolio volatility, downside risk, liquidity, income, and correlation with other assets and economic interests.
Diversification Planning
Develop a staged transition that weighs outright sales, charitable giving, gifting, exchange strategies, and reinvestment of proceeds.
Liquidity Coordination
Align planned sales and available borrowing resources with taxes, capital commitments, major purchases, and other near-term demands.
Executive Constraints
Coordinate with legal and tax professionals when Rule 144, trading windows, insider status, lockups, or a Rule 10b5-1 plan affect implementation.
Our Approach
Risk Management Is Not an All-or-Nothing Decision
The objective is not necessarily to eliminate the position. It is to determine how much concentration remains appropriate, which risks require action, and how implementation can respect the client’s tax position, ownership preferences, and financial priorities.
- 01Measure total exposure
- 02Set risk boundaries
- 03Coordinate tax and legal input
- 04Execute in stages
A More Complete View
Bring the Full Financial Picture Into Focus.
Important information: Certain hedging, monetization, lending, and trading-plan strategies require qualified legal, tax, brokerage, or banking professionals and may not be available through Galleon. Galleon coordinates with the client’s professional team and available custodial resources.
