We rely heavily on asset allocation aiming to determine the optimal mix of asset classes. We include local and foreign equities bonds, cash and commodities in the various portfolios depending on the risk profile and orientation. The strategic allocation mix that is appropriate to the investor is performed for the long term; while tactical allocation allows short term deviations in order to explore specific opportunities and market conditions.
Optimal asset allocation is achieved based on:
- Current international market conditions and valuations
- Clients risk profile
- Expected performance of portfolio
- Portfolio riskiness
- Correlation of expected returns
- Investment horizon
- Liquidity needs
- Specific economic situation
- Base currency
Portfolios are constructed based on expected performances, investment opportunities, global market risks and historical data analysis.