The philosophy underpinning our private wealth equity management service is to deliver significant, wealth-enhancing asset growth, but only within acceptable risk parameters and over the long term. Capital protection is most certainly a priority and is achieved by proper asset allocation and asset selection. Both risk and return are vital considerations in the investment process and a balance appropriate to the needs and constraints of the individual investor should be always struck between these.

Therefore, we endeavour to deliver benchmark returns during bull runs, without assuming the same investment risk as the market (e.g. being heavily weighted towards one particular sector, or a handful of shares). Our active style and capital protection-biased approach is designed to outperform the market during significant bearish periods. Therefore, we would expect to have a much smoother return profile than market alternatives over the long run, while benefiting from the mathematics of compounding (cited by Albert Einstein as “the most powerful force in the universe”) to achieve comparable growth.

The mechanisms whereby we strive to deliver these superior risk-adjusted returns consist of an investment process born out of many years of financial market experience and theoretical best practice. We actively manage and constantly monitor each investor’s holdings and the relative size of each individual asset held to respond to possible opportunities and hazards in a dynamic and volatile market environment. Extensive use of economic analysis enables us to form macro/top-down (or “big picture”) views on the asset classes, market sectors and the economy, while financial and technical analysis provides a bottom-up (security-specific) view. It is at the intersection of these approaches that we strive to unearth good value investments.

Furthermore, we apply modern portfolio theory and risk management techniques to optimize the risk-return characteristics of the portfolio, with diversification both within and between asset classes being a key element of our style.