Our Investment Philosophy

There is no area of financial planning more debated than that of the best way to maximise investment returns. The reality is that there is no best way. The pursuit of returns is a bit like changing lanes in a motorway traffic jam; logical in principle but often counterproductive in practice.

Our investment approach recognises this. Our value lies in the creation of risk graded “model portfolios” which embrace a the principles of “Modern Portfolio Theory”. We do not seek to predict markets. We do not do market timing. We never follow investment fads.

The Principles We Follow

  1. Forget “Best”. It does not exist

  2. Invest for a reason

  3. Risk and return are related

  4. Investing requires a long term view

  5. Portfolio structure drives performance

  6. Diversification reduces risk

  7. Passive beats active

  8. Discipline is important

  9. Investment should be efficient (charges and tax)

  10. Keep it simple

Resource Library

Market Volatility

Markets DO fall in value. This video explains that it is hard to expect increased investment returns without this risk and demonstrates that acceptance of these short term movements is rewarded for the long term investor.

The Power of Markets

This video seeks to define what we mean by “the market” and offers a simple explanation for the variation of prices. It also highlights why a simple and disciplined approach works best in the long run.

Controlling What You Can Control

This video explains exactly why we use a disciplined, strategic investment philosophy.

Tuning Out The Noise

It’s easy to panic when you hear the latest news headlines or if you see a blip in the value of your investment. The message is simple and self-explanatory.

Principles for Investment Success

This is a good guide provided by Vanguard which expands on some of the concepts we embrace. It also provides a good glossary of general investment terms.