The five portfolios are managed via a blend of active and passive investment strategies designed to meet a specific investment objective.
Core holdings take the form of passive investment products such as Index funds and Exchange Traded Funds (ETFs). The Satellite holdings are more specialised, actively managed investment products where the manager aims to outperform a benchmark on a relative basis.
Integrating passive strategies into the Core of the portfolio enables broad diversification delivered at an affordable cost. By adding some more actively managed Satellites to the mix, the aim is to seek to deliver outperformance relative to the index over the longer term.
Each portfolio will be rebalanced back to our chosen asset allocation at least twice a year. At our discretion rebalancing may be more frequent than this.