Independent financial adviser to personal and corporate clients

Asset Allocation

Asset Allocation is all about designing an investment strategy and portfolio that matches your risk profile.

For every risk profile between 1 and 10 there is an ideal combination of assets designed to deliver investment returns appropriate to that risk level. In order to provide true diversification we consider five different types of asset class: Equities, Property, Bonds & Fixed Interest, Cash and Commodities.

The proportions in which these assets are held will vary depending upon the relevant risk profile. A low scoring risk profile will tend to have greater bias towards Cash and Bonds & Fixed Interest and a lower holding in Equities whereas the reverse is true of a risk profile with a higher score. As well as holding different types of assets, our strategies include geographic diversification. Although there is a bias towards UK based holdings, there is exposure to the USA, Europe, Japan, Far East and the Emerging Markets. Commodities funds, such as those that invest in gold related stocks or other natural resources, provide a further level of diversification.

To put it another way, our asset allocation strategies are all about putting your “eggs in different baskets”.