Kostya Etus of Dynamic Advisor Solutions - The Five Key Concepts of Building Successful Investment Models

What this episode covers

Building successful investment models is a multifaceted endeavor, where allocation, security selection, selecting the right model provider, rebalance, and trading best practices can make all the difference. By understanding the key concepts behind building investment models, investment firms can navigate the complexities of the financial markets with confidence. Ultimately, this will provide their clients with optimal investment outcomes and create lasting value for all stakeholders involved. In this episode, Rusty and Robyn talk with Konstantin "Kostya" Etus, Chief Investment Officer at Dynamic Advisor Solutions. In his role, Kostya is responsible for leading Dynamic's Investment Management team and overseeing all investment operations, including investment people, philosophy, process, portfolios, and performance. Kostya's experience includes managing mutual funds, ETF strategies, and 529 plans and evaluating investment strategies through a robust due diligence framework, including SMAs, model portfolios, and individual funds. With specialized experience in asset allocation and security selection of various ETF and mutual fund portfolios, Kostya talks about what goes into building successful investment models, how to choose the best model provider, and what sets investment firms apart. A self-proclaimed movie buff, Kostya also shares a list of recommended summer movies worth watching. Key Takeaways [04:07] - An interesting story about Kostya's personal and professional life. [07:54] - What Dynamic Advisor Solutions does. [10:02] - A walkthrough of Dynamic's Berkshire Hathaway weekend blog. [16:06] - The five key concepts to building investment models. [22:07] - How advisors can choose the best investment model. [26:24] - What sets investment firms apart? [29:57] - The role culture plays in choosing the right partnership. [32:04] - The must-see summer movies of the year. [48:01] - Kostya's favorite investment idea.  [49:55] - How Kostya maintains a high energy level to perform at his best. [51:51] - The people Kostya is thankful for on a professional level. [55:03] - Kostya's recommendations for content. Quotes [26:06] - "When choosing the right manager, you need to partner with somebody you believe will be best for your clients and who you believe your personal philosophy as an advisor aligns best with that investment manager." ~ Kostya Etus [26:48] - "Everyone has their unique philosophy and investment process — people, philosophy, process. The first P has consistently been the driving differentiator amongst investment firms." ~ Kostya Etus [31:36] - "Culture has to be absorbed in this idea of compliance and doing the right thing. Everybody needs to take care of the clients and do everything in the best interest of the clients. That leads to taking care of your employees, taking care of your partners, and your relationships." ~ Kostya Etus Links  Konstantin "Kostya" Etus on LinkedIn Konstantin "Kostya" Etus on Twitter Dynamic Advisor Solutions Why Can't We Be Friends You've Got a Friend in Me Jim Cannon Salesforce Berkshire Hathaway Warren Buffett Q2 2023 Investing Insights: Top 3 Lessons from Warren Buffett In 2023 Oriental Trading Todd Clark Everything Everywhere All at Once Sisu The Fast and The Furious The Little Mermaid Spider-Man: Across the Spider-Verse The Flash Transformers: Rise of the Beasts Asteroid City Mission: Impossible - Dead Reckoning Barbie Oppenheimer How Do You Live? Killers of the Flower Moon Last Voyage of the Demeter Strays The Eight Mountains Guardians of the Galaxy Vol.3 Josh Jenkins Lutz  Grant Engelbart Michael Hadden Jeovany Zelaya Ludacka Wealth Partners Nick Codola Joe Smith Parti Pris Investment Partners Intelligent Investor Connect with our hosts Rusty Vanneman Robyn Murray Subscribe and stay in touch Apple Podcasts Spotify Google Podcasts 1455-OPS-5/26/2023