Our objective is to generate returns in excess of inflation, tax and all costs - that is, positive absolute real returns. To achieve this, we have developed an investment philosophy that rests on four main pillars:

Pillar one: Asset allocation drives performance

The majority of investment returns can be attributed to the broad asset allocation decision (e.g., the choice between holding equities, property, bonds, hedge funds, etc.) and not to the selection of individual fund managers or specific securities.

Pillar two: Effective diversification reduces risk without compromising returns

A robust portfolio that consistently grows wealth in real terms consists of a range of asset classes each of which behave differently under varying-market conditions.

Pillar three: Value investing makes sense

Market perceptions of the economic value of asset classes typically fluctuate strongly. In reality market prices often diverge from economic value. Our investment decisions are based on opportunities created by such under-valuation (attractive for investment) and overvaluation (avoid or disinvest) of asset classes.

Pillar four: The future is uncertain and will often surprise

We cater for this unpredictability by constructing portfolios that will be most beneficial within realistically projected scenarios.