• The asset allocation and volatility parameters of each Lifestyle Fund are based on client risk profiles 3-7 on Distribution Technology’s Dynamic Planner (they can also be mapped to the output of other risk profiling systems). As a complement to this long-term strategic allocation the management team are able to tactically tilt asset allocation (within defined parameters) to best position the portfolios given prevailing market conditions and their assessment of the outlook.

    Investment approach

    The team uses a range of proprietary quantitative tools to forensically examine potential holdings. In the search for ‘best of breed’ offerings they target those managers consistently adding value (or alpha) through their investment decisions. Quantitative analysis allows them to determine whether managers are lucky or skilled, random or consistent.

    As well as their extensive understanding and experience of the funds marketplace the team have regular access to fund managers. This is crucial in ensuring that all the key elements of people, philosophy and process remain in place as well as being kept abreast of current positioning and views.

    Each Lifestyle Fund invests in a basket of 25-40 funds/instruments with each holding carefully selected and actively managed and the portfolios constructed in such a way as to optimise the blend of holdings.

    The funds are monitored and regularly rebalanced to ensure they are aligned with their defined volatility parameters and as a result remain suitable for a client’s risk profile both at outset and for the duration of the investment.