At the core of our investment processes is the belief that the mitigation of risk is just as important an objective as the maximisation of returns. We place great store by the preservation of the real value of capital through the close monitoring of market and asset volatility by way of proprietary risk analysis, rigorous back-testing and sophisticated software tools. All our portfolios are monitored on an ongoing basis to ensure that the agreed risk profiles are maintained over time.

We continually research the available marketplace of securities to find suitable investments that make up our multi-asset global portfolios. As such, we are not tied to any one asset manager or type of security and instead take a ‘best of breed’ approach. The strategic asset allocation references leading and lagging indicators of asset class risk/return data across a broad range of securities and how they perform together. By weighting this broad range of investments, and rebalancing given the prevailing economic environment, we aim to optimise the expected return for a set level of risk over the medium to longer term.

However, the shorter term offers significant market opportunities and pitfalls that the fund manager can  attempt to take advantage of and/or avoid respectively. As a result, the funds employ a tactical asset allocation overlay – ie an overweight/neutral/underweight stance against the core strategic asset allocations – with a view to capturing these shorter-term market trends.

In addition, our portfolios all contain an element of direct high-yielding listed bonds that would normally only be accessible to institutional clients, and designed to provide a high fixed return, well above inflation, regardless of market volatility. BB Capital Management acts as corporate broker to these bonds and disclosure of income received is available on request.