The Balanced Portfolio has been created to suit investors with a medium risk appetite. It will appeal to those looking for secure investments, but understand that a certain amount of risk needs to be taken in order to maximise returns.
The rationale behind the portfolio is to offer the average investor a well-diversified portfolio that will generate steady return and growth whilst keeping a medium risk appetite and capacity in mind. More than 50% of the portfolio is denominated in GBP to limit currency exposure to the client and a third of the portfolio is held in UK Government bonds and cash since they are considered low risk assets.
To reach the higher target rate on the portfolio, more diversity has been sought outside of the UK with less allocation in cash and treasury bonds than the cautious portfolio. A higher exposure to Blue Chip global equities and emerging market equities has been included, whilst industry sectors still remain well diversified globally.
All data expressed as at 1 November 2018.
Our globally diversified portfolio comprises a mix of asset classes and investments all of which are highlighted below. Portfolios are constantly monitored and may be rebalanced by the investment manager. This allows the manager to adapt to any material market movements at its discretion and ensure the portfolios remain in line with strategic asset allocations. As such the products, assets and weightings of those products within the portfolios may change from time to time with the objective of retaining the desired portfolio construction and performance outcome. Mercantile Invest will provide regular updates of such amends which can be viewed in our archive.