At Knightsbridge, we believe that the asset allocation decision is likely to be the predominant driver of the variation in an investor’s investment returns.
The main asset classes Knightsbridge diversify between include:
- Domestic and International Equities (incl ETFs)
- Listed Property Trusts (REITs)
- Hybrid Securities
- Alternative Investments
- Government & Corporate Bonds
- Term Deposits & Cash
The key to asset allocation is combining individual asset classes in the best proportions to obtain the optimal overall portfolio trade-off between risk and return. At Knightsbridge, we manage this process via adopting long-term strategic asset allocation models, coupled with quarterly reviews and rebalancing where necessary.
Invariable at times in the investment cycle, it may be appropriate to be under, neutral or overweight particular asset class benchmarks. Knightsbridge produces internal asset allocation models based on our view of financial markets which dictate our recommendations.