The overall investment strategy is built upon the client’s specific investment objective. It is essential that the investment objective is clearly defined and understood with the required returns (absolute or relative) and risk parameters fully evaluated and appreciated.
Industry research combined with our market knowledge enables us to produce property forecasts and anticipated performance for each sub sector of the market.
These performance forecasts (combined with specific client objectives) lead to the construction of a bespoke portfolio profile and an asset allocation that will achieve out performance against a relative or absolute benchmark. Within this process, we set strict risk control parameters to reflect the clients’ specific requirements.
The risk controls are imposed to ensure that the portfolio profile does not incorporate excessive volatility and risk. At an overall portfolio level, the characteristics of the main asset classes can be reviewed to maximises performance and avoid excessive volatility. In particular, income return, longevity of income and quality of income are modelled against the respective benchmark. In addition the timing of rent reviews and lease renewals are assessed and modelled in order to highlight potential hot spots within the portfolio.
