INVESTMENT MANAGEMENT


Someone’s sitting in the shade today because someone planted a tree a long time ago” – Warren Buffet

Bespoke Portfolio Management

Tens of thousands of unique portfolios exist in the Apio Wealth proposition ensuring a good range of investment options for a large and diverse investor base.

The following dimensions describe the different portfolio customisations available via the Apio Wealth Proposition:

Risk Score

Arguably the most important option is the ability to select a level of risk in the portfolio that the investor will be comfortable with. Apio Wealth offer a risk score that runs from 1 to 100.

Currency

Portfolios can be optimised for investors with liabilities in Great British Pounds (GBP), Euros (EUR) and United States Dollars (USD).

Asset Class Constraints

Certain asset classes can be excluded from portfolios to better align with the investor’s Cash Flow Model and other personal holdings. One example would be constraining the use of Property in the portfolio if the investor has additional property holdings elsewhere.

Passive Tilts

Passive market cap index funds can be blended with the funds inherent in the Investment Approach to offer gradually cheaper and cheaper implementations of the Investment Approach as one tilts closer towards a 100% passive implementation.

Core Active (Investment Approach)

Portfolios are implemented using the fewest constraints, resulting in a well-diversified global asset allocation, implemented using a blend of actively and passively managed funds. Active managers are only used when Apio Wealth has sufficient conviction in their ability to consistently outperform.

Income Oriented (Investment Approach)

Portfolios are implemented to target a higher income level than the Core Active approach and also distribute all the income generated.

Enhanced Indexing (Investment Approach)

Enhanced Indexing (Smart Beta) is a factor-based approach to investing that typically costs less to implement than traditional actively managed portfolios but which still has the potential to outperform traditional passive implementations. Apio Wealth considers and blends a subset of a number of academically robust factors, including: Value, Size, Momentum, Low Volatility, Quality and Liquidity.

Absolute Oriented (Investment Approach)

Portfolios incorporate a much higher allocation to Absolute Return funds in place of traditional fixed income. The actual allocation will vary depending on the risk score of the portfolio.

Pure Absolute (Investment Approach)

This portfolio uses a diversified blend of only Absolute Return funds in order to achieve a low correlation to the world equity markets. The result is a low volatility portfolio that targets a steady return, along with lower performance-drawdowns than standard long only multi-asset portfolios.

For more information, contact wealth@apio.co.za