Initial Portfolio Construction
We determine the opening asset mix for your portfolio by applying our assessment of the investment outlook to the agreed planning ranges for each asset category. For example, if the agreed planning range for world equities is between 30% and 50% and we are feeling quite optimistic about the outlook for world equities, we may start off with a target weighting of 45% to which we will build up gradually by buying on dips.
In deciding which investments to buy within each asset category, we choose from our universe of adopted ETFs, using a variety of providers to ensure good diversification. We can also accommodate your existing holdings into your portfolio plan where you may not wish to sell them for tax or other reasons.
Portfolio Management
We keep your investment portfolio under continuous review, making changes when we think appropriate.
Sometimes we will make tactical asset allocation changes. This means varying some of the asset class weightings up and down within their agreed planning ranges in response to significant changes in our assessment of the investment outlook.
Sometimes we make changes to the underlying ETF investments. We keep each of your individual investments under close review to ensure that they continue to meet our qualitative criteria and investment performance criteria. Should they cease to do so, we change them for others.
Progress Reports
We stay in close touch with you through a formal framework of regular written progress reports and meetings and a more informal framework of telephone conversations, emails and other correspondence. In these ways the match between your circumstances and objectives and the investment strategy that we are following for you is kept under continuous review. It can be adjusted swiftly should your circumstances vary in such a way that a different investment strategy is called for with different strategic asset allocation planning ranges
Custodian Service
Our clients use independent custodian services. Many go to Bank New York Mellon, one of the largest custodian banks in the world, to take advantage of their expertise and systems for careful handling of other people’s assets at a competitive fee.
