Asset selection
Investing in the right asset classes and geographical areas at the correct time in the investment and economic cycle is a key part of how a fund manager adds value to a portfolio. We believe, however, that attempting to finesse market movements and inflection points is extremely difficult. We have responded to this challenge by developing an overall asset selection process, with individual portfolios designed to be consistent with the risk appetites and time horizons of our clients.
The Brompton private client team draws on a wealth of talent to assist in the formulation of its conclusions about the relative attractions of various asset classes at any given time. In addition, the team studies the output of well-established independent economic and financial commentators and as well as the views of the third-party managers within the portfolios, taking into consideration their specific sector, geographic and style positioning.
The private client team is, however, accountable for any decisions taken. This means that asset selection decisions genuinely reflect the opinions of the team and this ensures that all such decisions are fully implemented in a timely fashion. The asset selection committee meets quarterly on a formal basis to review the private client investment strategies. Such meetings are supplemented by regular informal conversations involving the private client team and committee members. The process is dynamic and changes are implemented with conviction.
