Key Elements
A disciplined approach to our investment process is ensured by a robust organisational structure with sensible division of responsibilities.
A segregation of responsibility occurs between Client Fund Managers, who ensure that allocations between various asset classes move in line with our House View, and Asset Class Managers, who determine the construction of portfolios within each asset class. Thus, investment activity by Asset Class Managers is monitored by Client Fund Managers, to ensure portfolios are managed within the scope agreed with clients.
There are a number of key elements to our investment process:
- Asset allocation
- Stock selection
- Portfolio construction
- Centralised dealing
Asset Allocation
The investment benchmark set by the client determines the strategic asset allocation of the fund. The Global Investment Group consider where markets are in their own cycles and determines the allocation of assets around the benchmark, between shares, bonds and other types of investment. This group is made up of senior investment professionals and is responsible for providing overall strategic and tactical focus to the decision making process. This focus finds expression in the House View through which it is decided which asset classes are to be most favoured and least favoured in the construction of client investment portfolios.
Stock Selection
Stock selection is determined by Asset Class Managers who analyse the key drivers impacting on share and bond prices, assess what is factored in to the prices, and make judgement on what is likely to shift investor expectations.
Portfolio Construction
Client Fund Managers tailor the asset allocation of each client portfolio to reflect the House View and the performance objectives and risk profiles of the client.
Dealing
A team of experienced dealers is dedicated to seeking the best available terms on the purchase and sale of company shares. This allows our Portfolio Managers to focus entirely on research and the construction of investment portfolios.
To view our current House View click here.
