Asset Allocation Advice
Asset Allocation
Numerous studies have determined that Asset Mix Policy is the largest contributor to portfolio return. In fact, over 90% of your return is attributed to the asset mix decision. This is why the Asset Mix Decision is extremely important and should be carefully developed long before any investment decisions are executed. In developing your Strategic Asset Mix, LOM Asset Management first analyses your Investment Policy Statement. This will determine your need for growth, income or liquidity. Next, we analyse expected returns from capital markets and the inherent risk associated with each asset class. Then, applying the principles of Modern Portfolio Theory, we are able to develop a Strategic Asset Mix that will enable your portfolio to achieve its long-term investment objectives.
