We take your security very seriously. In order to protect you and our systems, we are making changes to all HSBC websites that means some of the oldest web browser versions will no longer be able to access these sites. Generally, the latest versions of a browser (like Edge, Chrome, Safari, etc.) and an operating system family (like Microsoft Windows, MacOS) have the most up-to-date security features.
If you are seeing this message, we have detected that you are using an older, unsupported browser.
Our portfolios aim to generate smoother return streams by diversifying across markets, asset classes, geographies and investment styles and by managing strict risk budgets.
Our multi-asset range of strategies covers: traditional balanced, risk targeted, flexible and income-oriented portfolios, specialised techniques (style factor) and portfolio protection.
Our multi-asset investment philosophy is based on the belief that:
Markets are inherently inefficient over the short to medium term
Asset prices exhibit excess volatility, relative to fundamentals, often leading to market mispricing
However, markets can be expected to revert to a measure of 'fundamental value' over the long term
We believe active asset allocation based on valuation can exploit this market over-reaction and mean reversion
Asset allocation is the key driver of portfolio return and must be dynamic
Following on from this philosophy, we aim to develop:
Robust valuation metrics to review the long term return potential on all available asset classes, on an ongoing basis
An investment strategy that is adjusted accordingly, shifting portfolio allocations toward asset classes with the best prospective risk-adjusted returns
Fulfilment that aims to capture the beta characteristics of the targeted asset classes on a cost efficient basis
To achieve this we:
Use asset valuation tools in a systematic way to project future asset class returns
Construct a dynamic asset allocation policy to exploit shifts in prospective returns across assets
Employ a robust optimisation process, enhanced by considered qualitative judgement, and a disciplined rebalancing of portfolios
Carefully manage portfolio risk as well as return potential
Choose the most efficient instrument for execution from a risk, return and cost perspective
The investment process for our core multi-asset solutions consists of three key stages:
Strategic Asset Allocation (SAA) – setting the portfolio's reference allocation
Tactical Asset Allocation (TAA) – risk aware active positions against the portfolio's SAA, reviewed frequently to ensure portfolio dynamism
Portfolio Construction – implementation of the portfolio's TAA
We leverage the insights of a wide range of global teams: macro economists, equity and fixed income investment teams, research specialists that focus on portfolio design and analytics, and product specialists in London, Paris, Toronto and Hong Kong
Our strategies benefit from years of experience in advising clients on investment guidelines, benchmarks and risk tolerance criteria, together with an extensive knowledge of local regulation and industry trends
The value of investments and any income from them can go down as well as up and investors may not get back the amount originally invested. Where overseas investments are held the rate of currency exchange may also cause the value of such investments to fluctuate.
Beginning of dialog window. It begins with a heading called "Terms and Conditions". Escape will cancel and close the window.
Terms and conditions
This Site is intended for Institutional Investors in the UK only.
You must read carefully the terms and conditions and disclaimers set out here (the 'Terms') and agree to be bound by these Terms prior to registering as a user of this website (the 'Site'). By selecting ACCEPT you agree to be bound by these Terms. If you do not agree to be bound by these Terms please select the DECLINE option below.
I have read and accept the terms and wish to continue into this site. I confirm that I am an Institutional Investor based in the UK.