T Bailey

Investment Process

Step 5. Portfolio construction/Risk control - detail

Example guidelines – a full risk profile can be discussed in detail with our Investment Team.

One element of this stage of the process is to set out principles for the fund, depending on its remit. These may include the following:

  • Smaller exposure to high risk funds.
  • Flexibility to blend styles (i.e. growth/value/income) as investment opportunities dictate.
  • Maximum of 25 holdings, where possible, to avoid averaging down returns.
  • Tracker funds as risk control in uncertain / difficult markets.
  • Limited exposure to any one house.
  • Permitted ranges for each region.


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