Purpose of wealth: protect, enhance or enjoy the wealth?
- All three are important for most clients, but in different proportions
- We categorise all assets in portfolios according to how they serve these goals
- Making sure this is agreed and understood with you ensures the path we set out on is not deviated from at the worst possible time, thus avoiding permanent capital destruction.
- A longer term view facilitates an emotional detachment and creates the intellectual space needed to make better decisions
- We believe that the real measure of success of a portfolio strategy is whether it meets your goals, which are more likely linked to beating inflation rather than performance relative to an arbitrary financial market based benchmark