Step 1

Strategic allocation

The strategic allocation decides how the assets in a portfolio will be spread over a certain number of asset classes and takes into account a predefined risk/return profile.
For profile-based asset management, five investor profiles are defined combining various degrees of sensitivity to risk and performance expectations.

Step 2

Tactical allocation

The aim is to take advantage of opportunities on the financial markets. Tactical asset allocation is used to enhance the performance of the portfolio. Accordingly an asset class will be brought over- or underweight when its valuation is no longer considered to be in line with its fundamentals.

Step 3

Securities selection

Equities

Sector allocation and equity selection

Bonds

Maturity breakdown and issuer selection

Funds

Selection of the best international investment funds