Our approach to investing your wealth
We believe in constructing risk-targeted portfolios using quality fund choices. The portfolios are designed to produce superior risk-adjusted returns.
The investment selection process uses Quantitative Analysis to rank and score all funds in the marketplace. A quota system ensures representation from all investment sectors. This data is then subjected to a Qualitative Assessment by an experienced team of fund analysts. Their comprehensive process ensures only funds of a high enough quality make our Approved List of funds. In addition, the list is filtered to remove any funds that are too similar, with diversification a key element of portfolio construction.
Our growth portfolios are built to a volatility target and ensure investors are always exposed to the appropriate amount of risk.
While the risk target is the primary focus of the portfolio, we also include asset allocation constraints, based on forecast performance and the modelled suitability of each asset class.
Each portfolio has asset class constraints overlaid, so it meets a volatility target within certain asset allocation criteria.
All portfolios are created using optimisation technology based around a diversification ratio. This measures how much risk is offset through the combination of different funds. The optimiser’s job is to construct a portfolio that satisfies all of the constraints and has the appropriate level of volatility and the largest diversification ratio.
