Emphasising capital preservation and absolute returns, Personal Assets Trust is conservatively managed, with concentrated equity holdings and low turnover. The Trust is long-only and has the flexibility to invest across a broad range of asset classes. In practice the investment universe is comprised first of:
- liquid developed market equities, where the team invests in quality businesses for the long term when valuations are attractive.
Other asset classes are selected on the basis of:
- risk diversification, such as gold-related investments and government bonds
- safety and optionality, such as short dated treasury-bills and cash
- inflation protection, such as index-linked government bonds and gold-related investments
The allocation to these diversifying asset classes may increase at times of elevated equity valuations or economic and corporate uncertainty. In each of these asset classes, we seek the highest quality securities.
Our long-term investment horizon and emphasis on protecting our investors’ capital rather than chasing short term returns allow us to ignore market noise and to stick to our core principles of preserving and growing investors’ capital.
