More on – Risk management
Across every stage of our process, we:
- evaluate risk in a rigorous and systematic way
- examine the downside potential and form a clear picture of 'worst case scenarios' which we can then factor into our views and decision-making.
Themes – we ask: what if our theme views don't play out as we planned? What if the trends move in the opposite direction to our predictions?
Company analysis – in addition to using a range of qualitative and quantitative measures to assess the risk/reward balance of each company we invest in, we also ask: what if our valuation is wrong? What if our investment case is wrong?
Portfolio construction – the protection of investors' capital is a key consideration when we construct portfolios. We carefully manage risk through sector allocations when we construct portfolios.
In addition, all funds operate an exclusion policy, avoiding companies which we believe expose investors to unacceptable financial risk resulting from poor ESG (environmental, social and governance) management.
