At Perpetual our investment philosophy drives our investment decisions. Our portfolios are well diversified and are managed within a disciplined volatility framework. The Perpetual Multi Asset team has the expertise to capture a broad universe of investment strategies and the flexibility to implement these strategies through a range of internal and external capabilities.
Specific principles guide the way that we seek to identify opportunities and manage our Multi Asset portfolios:
- Markets are semi-efficient and have a tendency to overshoot and undershoot fair value.
- Future investment returns are primarily driven by the price you pay, so valuations are critical. This value approach applies when investing in individual securities as well as across asset class opportunities.
- We believe that a focus on buying quality investments at attractive prices and diversification across a range of markets, sectors, strategies and sources of returns helps protect our portfolios from losses.
- An active asset allocation approach may benefit investors because the manager is able to reduce (or exit) exposure to an asset when its fundamentals are poor or raise exposure when conditions are favourable.
- A highly active asset allocation approach requires skill, experience and discipline.