President's Message - May 2026

Fiduciary duty in the face of Chaos

by - Thomas Twombly

artist - Daisy Lopez

Given the chaotic circumstances under which we are all living, planning, investing, and just trying to lead our lives right now, only a fool or a charlatan would try to convince you that everything is under control and that he or she knows exactly what’s going to happen next.

I try very hard never to be either of those, so please stop reading right now if what you’re hoping to find in this essay are soothing reassurances from me that you can just tune it all out because we have it all under control and everything is going to be just fine.

I do not know that to be the case. And I think a substantial part of the fiduciary duty I owe to you - and to every other client who is relying on this firm to guide them along this tumultuous journey we call “life” - is to exercise the courage to face the most brutal facts of our present reality, to tell you the truth as far as I am given the light so see it, and to be completely forthright regarding the risks and limitations inherent in our (or anybody’s) ability to exercise clear foresight.

I have a similar responsibility to acknowledge the risks and limitations of each and every individual financial decision we might make together, and also to point out the risks and limitations of each and every specific investment option we might choose to employ at this juncture. Then it’s my responsibility to help you face the future with a sense of purpose and conviction anyway. How is that for a challenge?

In my experience, however, effective leadership is not about always having to prove that you know the answer and that your answer is right. Sometimes, the most valuable attribute of good leadership is simply to model composure in the face of chaos. It’s the ability to remind people that calm can be a significant competitive advantage when all about you is being upended and others are losing their heads. It’s repeating the mantra that “slow is smooth, and smooth is fast.” It’s openly acknowledging that sometimes there is nothing anyone can do quickly to turn disorder into order, so the wise thing to do is to be patient and deliberate; to remain vigilant, but to wait to act until the clouds begin to part.

Effective leadership lies in exercising self-control and accepting some very real limitations. It lies in demonstrating the poise to accept and endure things outside your control as serenely and patiently as possible – and in minimizing the risk of being provoked into doing the wrong things, and making matters worse, by succumbing to the impulsive and deeply human urge to react. (I’m reminded of my mom, who, years ago, managed a large and successful real estate office. She kept a wry warning about this so-called “leadership” phenomenon framed on the wall of her office: “When in danger, or in doubt, run in circles, scream and shout!”)

Wise leaders impart wisdom to others, and they help others strengthen their own ability to simply embrace ambiguity and just sit, as comfortably as they can, with the reality of not knowing - because the ability to not react is every bit as important – and sometimes more so – than the ability to act quickly.

Poor leaders do the opposite. In their compulsion to act, and in their insistence on always being seen to be acting, they actually prevent others from remaining calm, level-headed, and deliberate. They kill creativity, teamwork, resilience and trust, which are the critical ingredients for problem-solving. With their rigid approach and their autocratic, command-and-control style, they instead sow anxiety, fear, helplessness, and panic.

The future we invest in, and for, is unknown and unknowable. It always will be. It just feels more so now because of the stark absence of effective leadership at the national level – on either side of the political aisle. That is why we will always diversify broadly – across asset classes, across countries and international boundaries, across industries, and across individual businesses within those industries. And that is also why we will continue to maintain a very long-term perspective. We recommend that you do the same.

Thank you for your confidence and trust. Please give us a call if you would like to talk. We would welcome a conversation about your personal situation.

Thomas G. Twombly

President