Investment Process
Planning the investment strategy
In conjunction with the client, InterCapital helps defines his/her personal financial goals. The essential prerequisite of a successful investment strategy is clearly defining the client’s expectations at the beginning.
In order to determine the client’s objectives and investment restrictions (i.e. investment time horizon, risk tolerance and liquidity), the investment process begins by filling out the Client Investment Profile (i.e. questionnaire).
The aforementioned questionnaire is the main strategic guide of the investment process and it is based on the client’s allocation of assets.
Defining the investment strategy
Based on the findings in the Investment Profile, client funds are invested in different asset classes in major world capital markets. Thanks to InterCapital’s many years of global investment experience, the use of different investment strategies to try to achieve the best ratio of customer returns to risk are at our disposal.
An Investment strategy depends on the following:
• Investment time horizon,
• Investment goal (preservation of capital, generate earnings, saving for retirement by increasing equity, etc .)
• Risk tolerance and existing experience in investing
• Other possible preferences (currency exposure, degree of financial leverage, the individual security(ies) in which the client would like to invest in, accounting policies, etc.).
After a feasible investment strategy is developed, we then take into account the prevalent macroeconomic and political factors which are at play because we do not want to leave any stone unturned. After this has been completed, we then select the appropriate equity market, market sector(s), and individual securities to invest in. Again, all this is based on our thorough analysis and feasible assumptions, using a combination of bottom-up and top-down approaches.
Asset allocation and portfolio changes
By continuously monitoring the trends and changes in economic conditions in both domestic and global markets we readily assess if our client’s current investment strategy is in need of alteration.
Also, depending on the client’s personal life changes (i.e. during their life cycle), InterCapital will work alongside the respective client to propose any portfolio changes it deems appropriate, and a new investment strategy can then be developed if need be.
The investment the program is at all times tailor made to fit individual clients’ personal needs, as well as to provide financial security for the future.