Our Investment Philosophy

With our investment research and expertise at the heart of the business all clients can benefit from institutional quality investment management irrespective of whether they access their portfolio through an individually tailored discretionary portfolio or through our specially designed portfolio funds.

Our aim is to achieve investment performance which protects and enhances your real wealth over time, whilst exposing you to an appropriate and agreed level of risk. In order to achieve this there are a number of key principles that underpin our philosophy:

Active Management

• We believe markets are inefficient and that good fund managers can exploit those inefficiencies to the advantage of their clients.
• We utilise active management at all levels of the investment process ranging from asset allocation through to fund and stock selection in order to add value for our clients.
• Cornelian has a long history of successfully managing multi-asset portfolios for clients to deliver the investment objectives within appropriate levels of risk.

Diversification

• We believe that well managed multi-asset portfolios deliver superior returns for a given level of risk over the medium term.
• For all portfolios, we take great care to ensure that we achieve appropriate diversification across geography, sector and type of asset.
• In some cases we will select top class fund managers to access specialist knowledge in a specific area.

Risk Management

• Managing risk is a critical element of successful investment. Investment guidelines for each multi-asset portfolio are based on an assessment of the volatility of each asset class.
• We use a specialist third party provider to model potential asset class returns.
• To ensure compliance with risk managed targets, analysis is undertaken on each portfolio on a quarterly basis.

Portfolio Construction

• Our multi-asset portfolios encompass exposure to many different assets in different geographies.
• We believe that no single investment manager or investment management company has the greatest level of expertise in all these areas.
• We focus our efforts in the areas where we have specialist expertise and in which we can add greatest value to our clients: asset allocation and the selection of individual stocks.
• Where we are not specialists, we identify and select best of breed investment managers.
• For tactical asset allocation calls, we may select exchange traded funds to give us cost effective and efficient exposure to a particular asset class.

To see illustrative asset allocations of our discretionary portfolios - Growth, Balanced and Cautious, please click here