Good risk adjusted returns are generated through disciplined management.
In all aspects of our management we seek to avoid unnecessary complexity as this contributes to increased risk and rarely any improved results. With a good understanding our clients’ desires, needs and risk tolerance we establish a suitable portfolio strategy. This strategy considers (i) relevant asset classes, (ii) asset allocation, (iii) historic investments, (iv) liquidity needs and (v) complexity.
Successful manager selection and continuous monitoring of these managers is an essential part of our job. We are fortunate to find many of these managers close to home, but selectively compliment these with managers from abroad with a superior track record based on our extensive network. We meet with these managers on a regular basis, no matter where they are. The further away from home they are, the more cautious we are in taking on manager risk. As such, we typically prefer well established managers. We invest with managers employing a variety of strategies (passive, long only and long / short), but always seek the best terms for our clients. Any fund rebates are passed on to the client in full.
We have the greatest respect for the challenge of market timing, but seek to reduce risk at times when markets are expensive based on key metrics. Equally, we aim to have liquidity available in times of market corrections to benefit from the opportunities that arise at such times. Even still, a well diversified portfolio across different asset classes is our best strategy to preserve capital through times of turbulence while at the same time participate in markets upturns.