Fiducia Wealth Management
Posted in Investing, Fund Manager Q&A on 01.08.14

 Q.What is the basic approach to managing the fund?

The investment team has flexibility to find the most appropriate low risk investments, not restricted to one investment type or asset class, but with a strong focus on suitable covenants, legal protection and downside protection on investments to enable accurate risk modelling. The resulting portfolio has a high level of diversification by asset class, sectors and underlying holdings.

The investment process starts with top-down analysis, including the political stability of different geographical regions and sovereign strength. The team drill down further into the sectors and assets where they believe there is a good potential for a re-rating. The focus is then on searching for a low risk access to the preferred sectors and asset classes. If the team cannot uncover what they believe is a low risk investment route into a specific sector or asset, then they do not invest. This means the majority of investments in the portfolio have a predictable profile regardless of the risk profile of the underlying exposure, and typically exhibit key characteristics of a fixed life, fixed entitlement or both, enabling accurate risk modelling.

 Premier Diagram 1Q.How does the fund maintain its low volatility?

The majority of investments in the portfolio have a predictable profile regardless of the risk profile of the underlying exposure, and typically exhibit key characteristics of a fixed life, fixed entitlement or both, enabling accurate risk modelling.

Premier Diagram 2

Q.Are there any particular market conditions that suit your fund?

We model the Fund with the objective of delivering an absolute return in all market conditions over a rolling twelve month period. Changing market conditions create opportunities to add value by switching between the different investment types utilised.

 Q.What strategies have been the most successful and unsuccessful over the past twelve months?

The Fund does not pursue outright strategies but a number of underlying exposures have performed well during the last year including exposures to utilities, private equity, property and small cap equities. As underlying exposures are re-rated we are continuously looking to realize gains and reinvest into sectors and asset classes where we believe greater value exists.

 Q.What are the main challenges which will be faced by the fund in the next one to two years?

Underlying sectors, assets and investment types are continuously changing as are the risks faced. We model the Fund with the objective of delivering an absolute return in all market conditions over a rolling twelve month period.

If you would like to know more about how we as Financial Advisers can help you  with your Investments then visit the Investment Management section of  our website: Investment Management or send us email at: email@fiduciawealth.co.uk

The information contained in website is for guidance only and does not constitute advice which should be sought before taking any action or inaction. The information is based on our understanding of legislation, whether proposed or in force, and market practice at the time of writing. Levels, bases and reliefs from taxation may be subject to change. Accordingly no responsibility can be assumed by Fiducia Wealth Management Limited, or any associated companies or persons, its officers or its employees, for any loss occasioned in connection with the content hereof and any such action or inaction. Professional financial advice is necessary for every case.

Fiducia are an award winning firm of Financial Advisers based in Dedham near Colchester situated in the heart of Constable Country on the Essex Suffolk border. www.fiduciawealth.co.uk

Fiducia Wealth Management Ltd. Dedham Hall Business Centre, Brook Street, Dedham, Colchester, Essex, CO7 6AD.

Fiducia Wealth Management Ltd. is authorised and regulated by the Financial Conduct Authority. FCA No. 408210

Fiducia Wealth Management
Posted in Investing, Fund Manager Q&A on 01.08.14