We believe that our success hinges on delivering the returns our clients want at a risk level with which they feel comfortable.

To achieve this we have created a range of model portfolios comprised of a blend of collective investment funds, each with a clearly defined objective and level of risk so that you and your financial planner can select the portfolio most suited to your personal needs and objectives. Whilst we aim to produce the best potential returns, we take care to ensure each model portfolio is managed appropriately. We will never try to achieve returns by taking unnecessary risks and would rather miss out on a potential opportunity if it would mean the risk of unacceptable losses.


Our Investment Philosophy

Our investment philosophy is based on three main principles:
  • A diversified approach to asset allocation
  • Thorough research leading to quality investment fund selection
  • Active investment management
  • Asset Allocation

    Research indicates that achieving the correct asset allocation is the most important factor in generating long-term returns and that diversification is the best way to achieve risk-adjusted target returns. As such, our portfolios are designed to provide investors with exposure to a broad range of investments representing different asset classes that are likely to have a low correlation in terms of performance. This is commonly known as a ‘multi-asset’ approach to investment. The rationale is that in most market conditions at least some components of a portfolio should be delivering positive returns. However, it should be noted that in extreme market conditions, especially when market liquidity is low some asset classes can display high levels of correlation.

    The four primary asset classes on which our portfolios are configured are global equities, fixed interest securities (government and corporate bonds), liquid alternatives (property, absolute return funds, commodities etc.) and cash.

    Investors requiring a higher risk and return offering are likely to have a greater exposure to equities than a more cautious investor who is likely to have a greater exposure to fixed interest securities. The precise weightings of different asset classes within each portfolio are based on our analysis of long-term returns and risk.

  • Fund Selection

    Selecting the right fund across asset classes can mean the difference between average and good performance. We seek to identify consistent performers and only select funds which meet our stringent investment criteria.

    We are constantly researching, monitoring and reviewing investment funds from the universe of collective funds available to UK-based investors. Our analysis encompasses both quantitative and qualitative techniques using a range of analytical tools as well as conducting face to face meetings with the investment managers. We seek managers with a clear investment process that is easy to understand and seek evidence of how this has translated into past performance. We pay close attention to whether investment decisions adopt a team-based approach or are too dependent upon the skills of one investment manager.

    We may periodically include in our portfolios investment in ‘passive’ funds which are designed to track a specific market index if we consider that the use of actively management funds offer little cost-benefit.

    We only choose investments that can be bought and sold easily. Furthermore, if we cannot properly analyse or research an investment fund we will avoid it.

  • Pro-active Investment Management

    We seek to add value through our tactical asset allocation and our investment fund selection. This means altering the blend of asset classes in different market conditions and then expressing this through our investment fund selection. This process ensures that we do not alter our portfolios’ long-term risk and return profile but simply seek to enhance returns as well as reduce any possible losses by making active changes.

    Our portfolios are rebalanced approximately four times each year, although interim rebalances are made should we decided to adopt tactical asset allocation changes or add or withdraw any of the underlying collective investment funds.