We provide highly personalised service and build relationships of trust with each client through regular and close communication. Our services are offered on either a fully discretionary or advisory basis. We begin by understanding each client’s unique circumstances, objectives, constraints and preferences for capital preservation and wealth creation. Our investment decisions are guided by our model policy portfolio, which has provided a very attractive risk adjusted return since inception. This model portfolio aims for a balanced return with less than half the volatility of the equity market.
We establish defined investment goals with each client, upon which we design and build a bespoke investment portfolio. Each client portfolio is constructed using a hybrid combination of traditional and alternative asset classes, securities and managers from across the globe. We regularly review and analyse on-going portfolio performance together with each client. We control portfolio risk via our own research, analytical systems and governance.
Today’s most sophisticated investors, including most sovereign wealth funds and large endowments, employ a hybrid combination of traditional and alternative strategies (hedge funds, private equity, etc). For the largest US endowments, this shift is impressive. According to the National Association of College and University Business Offices, the average large US endowment (over $1 billion) is 61% allocated to alternative strategies compared to 29% a decade ago.** Some prominent endowments have over 80% allocation to alternatives.
Investment thinking has evolved dramatically over the years. After the 1929 stock market crash, nobody wanted equities barring a few visionaries like John Maynard Keynes as Cambridge University bursar in the 1930’s and Warren Buffett in his 1950’s era partnership, that has evolved into Berkshire Hathaway. We believe the move to hybrid portfolios today is equally as important though alternative strategies are complex, time consuming and expensive to research and monitor properly. It has been proven to be worth the effort. A recent study showed that smaller endowments with lower alternative investment strategy exposure do not perform as well as larger ones.
Our Direct PE Group sources and accesses proprietary deals through Generation's international networks in industry and governments.
Generation's in-house Direct PE Group manages all the sourcing, structuring and execution of its direct equity investments in companies with high growth potential for clients and co-investors. We offer the opportunity to invest in our PE portfolio companies directly or via our bespoke investment partnership vehicles that we customise, structure and establish.