But while he swears by this policy of using pre-packaged models, he’s also aware of the pitfalls of sticking with an investment strategy based on positive past performances. As a result, he attempts to blend this formula with a tactical approach that’s adaptable depending on market environments.
“We work hard to segment clients’ funds, risk profile that which is appropriate for a fluctuating investment, and then buy in expensive asset allocation models which blend strategic and tactical approaches,” he says.
“I have often thought they are wrong on property, cash and bonds, and even occasionally argued about it. But we subscribe to this process and we stick with it. In good times and conversely poor equity markets we have been delighted with the returns and the ability of our clients to understand the various levels of performance within the portfolio.”
Daniel Liberto is a former companies writer at Investors Chronicle
