Investment philosophy
Eleutheria Wealth combines two different approaches for its investments.
Eleutheria Wealth combines two different approaches for its investments.
The first, Top down, builds portfolios based on the macroeconomic and geopolitical situation.
The second, Bottom up, comprises the selection of the best individual instruments (stocks, bonds, derivatives) to balance the portfolio and optimise performance.
The investment process gives clients a unique, transparent and practical insight into market valuation. As the market is not a stable system, Eleutheria Wealth responds to sudden changes in the financial markets with a streamlined investment process that facilitates investment decisions.
Our Portfolio Management Philosophy
Eleutheria Wealth's investment philosophy and approach to portfolio construction
Eleutheria Wealth's investment philosophy and approach to portfolio construction
| 1 | 2 |
|---|---|
| PORTFOLIO CONSTRUCTION BASED ON THE MACROECONOMIC FRAMEWORK | SELECTION OF THE BEST INDIVIDUAL INSTRUMENTS |
Strategic Asset Allocation
Academic studies show how more than 90% of the portfolio's return is determined by Strategic Asset Allocation (SAA).
The identification of the SAA is therefore at the heart of the investment process and is achieved through optimisation, which is based on the formulation of accurate forecasts of future returns of the different asset classes.
Tactical asset allocation
We implement tactical decisions to align our strategic portfolios to changing market conditions to enable our clients to achieve their goals.
We have the flexibility to adjust portfolio positioning and allocations between and within asset classes to exploit investment opportunities and/or mitigate risks.
Asymmetrical approach
Our investment approach is asymmetrical, favouring reduced volatility.
We seek to improve the risk/return profile of client portfolios through an integrated portfolio construction process, the selection and construction of ad hoc investment solutions, diversification and risk management.
Implementation
For each investment class, the most appropriate instrument is determined on the basis of transparency, liquidity and best return/cost ratio.
The cornerstone of our investment philosophy is the complete absence of any conflict of interest.