Choosing the right
investment fund
With
over 2000 funds to choose from it is a difficult task
deciding where to invest. Our approach has been to create
a panel of around 130 funds based on a variety of
criteria spanning all sectors and geographical locations.
Each clients individual portfolio is then designed to
match their individual requirements using this selection
of funds. Offering a tailored investment process is
upmost in our minds. So what criteria do we base our
decisions on?
Fund
objective
Specialist nature of the fund (if appropriate)
Fund manager reputation/ performance history
Expertise of team who run the fund
Basis of analysis
Whether the team use in house / external research
Reputation of investment institution - service &
performance
Above average returns consistently over discrete periods
of 1 year for at least the last 5 years
Above average returns over 5 year periods
Below average volatility - depending on the nature of the
fund
Consistency of the funds as measured using variety of
mathematical calculations
Lipper medal rating system and Standard & Poors Star
rating
Reasonable yield (Income producing funds) for the nature
of risk taken
Charges in line with the market norm
Any discounts available
What risks the manager is willing to take to achieve
those objectives
If the fund has any limitations in terms of
overweight/underweight positions
Asset allocations of the fund and any recent changes
If there have been major changes to the fund what is the
justification for it
Whether the fund is an index tracker or quasi index
tracker
The funds risk profile in comparison to it's peer group
Size of fund
Any research carried out by third parties
Reasonable minimum investment amount
Not
every fund meets every criteria. If a particular fund has
an excellent fund performance but it's minimum investment
amount is £2,500 it will not be excluded but obviously
the panel cannot include only this type of fund. Each
fund is considered with a view to the entire panel.
Extensive reviews are carried out on a quarterly basis to
ensure our list only includes the best funds available
and that any underperforming fund is monitored and
removed as necessary
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