Interlake’s perspective on money management turns on the distinction between two components of investment performance: Manager return and market return. Where it’s positive, consistent, and sustainable, manager return (or “alpha”) is immensely valuable and very much worth paying for. On the other hand, market return (or “beta”) is a simple commodity available through inexpensive index funds.

But here’s the problem: The performance of most actively-managed funds is overwhelmingly beta-driven. What does this mean for investors? It means they pay (up!) for alpha but receive little more—and, because of high expenses, often much less—than market returns. This is the true mutual fund scandal, and it continues unabated.

Interlake Capital Management takes a smarter, better approach, offering a “true alpha” discipline through the Interlake Alpha Portfolios, and a “pure beta” discipline through the Interlake Allocation Portfolios. These complementary programs offer diversification not only across and within asset classes, but between active and passive strategies as well.

In the Alpha Portfolio, Interlake uses technical and fundamental data to identify compelling opportunities in the capital markets. Interlake’s Alpha discipline reflects our belief that markets are efficient in the long run but often inefficient in the short run. In the Allocation Portfolios, our strategic use of inexpensive, tax-efficient investment vehicles enables Interlake to deliver superb value and state-of-the-art solutions to a broad range of clients.

The bottom line is simple: Interlake Capital Management offers a complete, intelligent investment program grounded in the best practices of modern finance.