Independent & Experienced

Two words. One investment philosophy.

As independent fiduciaries, we exclusively serve the financial interests of our clients. Since the firm’s founding in 1986, our  investment decisions over many economic cycles have given us valuable experience to tailor effective investment programs suited to the specific needs of each client.

At Carderock Capital Management we take the time to understand your goals, then work together with you to apply our disciplined investment strategy to manage your portfolio and secure your financial future.

Contact Us

Independent & Experienced

Two words. One investment philosophy.

As independent fiduciaries, we exclusively serve the financial interests of our clients. Since the firm’s founding in 1986, our investment decisions over many economic cycles have given us valuable experience to tailor effective investment programs suited to the specific needs of each client.

At Carderock Capital Management we take the time to understand your goals, then work together with you to apply our disciplined investment strategy to manage your portfolio and secure your financial future.

Contact Us

“Today, independent firms such as Carderock Capital provide the care and attention of seasoned professionals building portfolios stock-by-stock and bond-by-bond specifically suited to your individual needs and priorities as a client.”

About Carderock

Carderock Capital Management is an independent registered investment management firm serving individuals and families in the Washington D.C. region since 1986. Our firm is purposely structured with a small core group of experienced portfolio professionals to help their clients meet their objectives.

About Us Our Services

“Today, independent firms such as Carderock Capital provide the care and attention of seasoned professionals building portfolios stock-by-stock and bond-by-bond specifically suited to your individual needs and priorities as a client.”

About Carderock

Carderock Capital Management is an independent registered investment management firm serving individuals and families in the Washington D.C. region since 1986. Our firm is purposely structured with a small core group of experienced portfolio professionals to help their clients meet their objectives.

About Us Our Services

Our firm is built on these core values

  • Independence

    As a Registered Investment Adviser, we are fiduciaries acting only in the best interest of our clients.

  • Ownership

    Carderock’s portfolio managers are the shareholders of the firm. This enables us to maintain and strengthen our long-term focus, stability and continuity of our firm.

  • Transparency

    Managing investment portfolios using primarily individual securities (stocks and bonds) so our clients know what they own and why they own it.

  • Consistency

    Our efforts across decades of experience informs quality investing and risk management.

  • Communication

    Our clients receive clear Carderock Capital quarterly statements in addition to their monthly custodian statements and we encourage annual in-person meetings to report progress and refine strategy.

Client Focus

We work with families in the Washington D.C. region who are at all stages of life. Our clients often face overwhelming demands on their time and they appreciate the opportunity to cement a relationship that empowers their control, simplifies the tasks involved, and optimizes their financial goals.

Review & Outlook

January 9, 2025

It was another strong year for the stock market, with notable performance across major indices:

  • S&P 500 Index (Market Weight) – 25.02%
  • S&P 500 Index (Equal Weight) – 13.01%
  • Dow Industrial Average (Price Weight) – 14.99%

This marks two consecutive years of double-digit returns, largely driven by the Artificial Intelligence (“AI”) theme and the anticipation of lower interest rates. While these returns are robust and well above our Investment Plan expectations, it’s important to note that not all stocks have kept pace. In fact, only 28% of stocks outperformed the S&P 500 Market Weighted Index, a significant departure from the typical 45% to 50% range. This divergence was last observed during the Technology bubble of the late 1990s.

Upon further analysis, we found that Lower Quality stocks—those with limited profits but high expectations based on AI technologies—were among the leaders, along with sectors that were hardest hit by the pandemic (e.g., banks, airlines, cruise operators). As you know, these are areas we generally prefer to avoid.

Read More

Our firm is built on these core values

  • Independence

    As a Registered Investment Adviser, we are fiduciaries acting only in the best interest of our clients.

  • Ownership

    Carderock’s portfolio managers are the shareholders of the firm. This enables us to maintain and strengthen our long-term focus, stability and continuity of our firm.

  • Transparency

    Managing investment portfolios using primarily individual securities (stocks and bonds) so our clients know what they own and why they own it.

  • Consistency

    Our efforts across decades of experience informs quality investing and risk management.

  • Communication

    Our clients receive clear Carderock Capital quarterly statements in addition to their monthly custodian statements and we encourage annual in-person meetings to report progress and refine strategy.

Client Focus

We work with families in the Washington D.C. region who are at all stages of life. Our clients often face overwhelming demands on their time and they appreciate the opportunity to cement a relationship that empowers their control, simplifies the tasks involved, and optimizes their financial goals.

Review & Outlook

January 9, 2025

It was another strong year for the stock market, with notable performance across major indices:

  • S&P 500 Index (Market Weight) – 25.02%
  • S&P 500 Index (Equal Weight) – 13.01%
  • Dow Industrial Average (Price Weight) – 14.99%

This marks two consecutive years of double-digit returns, largely driven by the Artificial Intelligence (“AI”) theme and the anticipation of lower interest rates. While these returns are robust and well above our Investment Plan expectations, it’s important to note that not all stocks have kept pace. In fact, only 28% of stocks outperformed the S&P 500 Market Weighted Index, a significant departure from the typical 45% to 50% range. This divergence was last observed during the Technology bubble of the late 1990s.

Upon further analysis, we found that Lower Quality stocks—those with limited profits but high expectations based on AI technologies—were among the leaders, along with sectors that were hardest hit by the pandemic (e.g., banks, airlines, cruise operators). As you know, these are areas we generally prefer to avoid.

Read More