Our overriding objective is to protect and enhance our Clients’ wealth. We aim to beat cash benchmarks consistently, striving to produce positive returns in all market conditions. This investment philosophy is underpinned by 4 key principles:
1. Freedom to choose
Covington’s has no ties to other financial services groups – we are free to match our Client’s objectives with the best investment products available.
2. Disciplined Investment Process
Successful investing requires a disciplined investment process. Our investment process is designed to protect and enhance our clients’ wealth without taking undue risks. We have stayed true to this process through both bull and bear markets and we believe our track record speaks for itself.
3. Risk Management
Asset Allocation – diversification is a crucial risk management technique which provides insurance against the unexpected. By selecting an optimised combination of global investment opportunities in traditional asset classes, our clients are less heavily exposed to adverse movements across their portfolio.
Active Portfolio Management – based on continual research and analysis and with our Clients’ authority, we can rebalance portfolios, switch asset classes or should the need arise, move into cash, as appropriate. We continually monitor the underlying investments and the technology we use allows holdings to be bought or sold quickly and simply, again with your prior authority.
Liquidity – the ability to switch asset classes or liquidate investments and move quickly into cash during periods of heightened volatility may be vital to preserve capital. The technology we use allows for this eventuallity.
We demand full transparency from the Managers of our underlying investments and will only invest in funds where we are able to carry out due diligence. We meet with them regularily to discuss their actions and gain their views. Covington’s does not accept any commissions or fees from third parties and our fee structure is transparent and is always agreed with the client at the outset.