Our strategies

Our four strategies are designed to meet the needs of most UK-based investors. They are mapped to a number of risk profiles commonly used by financial advisers in the UK. On the simple scale below, ‘one’ is low risk, low return and ‘five’ is high risk, high return.

Our portfolios are actively managed in response to markets. There will be points in the cycle when we feel confident and are keen to make hay while the sun is shining. There will be times when we are more defensively positioned. Advisers do not need to worry about switching clients from portfolio to portfolio depending on the market cycle.

Conservative

Aims to achieve a nominal total return greater than cash over five years or longer

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  • 5

Annualised returns (net of fees) since Inception (30 September 2010)

4.44%

Conservative Strategy TR GBP

3.43%

Peer Group: ARC Cautious PCI TR GBP

Risk budget

25%

Risk assets

75%

Stabilising assets

Can tactically adjust weighting to growth assets, for short periods, not to exceed 40%.

Suitable for:

Investor with a five-year time horizon looking to enhance the return available from cash deposits and fixed interest securities but with low capacity for loss.

Download the latest factsheet

 

Download the latest ARC factsheet

Annual performance to last quarter end

 

FromSep 2017Sep 2016Sep 2015Sep 2014Sep 2013Sep 2012
ToSep 2018Sep 2017Sep 2016Sep 2015Sep 2014Sep 2013
Conservative Strategy TR GBP0.37%-0.19%14.03%2.09%3.41%4.01%
ARC Cautious PCI TR GBP1.28%3.86%6.10%1.37%4.02%4.54%

As of: 30 September 2018

Source: Tacit Investment Management; Morningstar Adviser Workstation. Strategy performance is shown in GBP, net of management fees and calculated on a total return basis, with net income reinvested. Benchmark performance is shown in GBP, gross of management fees with all income reinvested. Past performance is not a guide to future performance. The value of investments can fall. Investors may not get back the amount invested. Income from investments may vary and is not guaranteed.

 

Any words of warning?

This strategy should not be seen as a substitute for cash as it does carry investment risk. If inflation outpaces interest rates then this portfolio may meet its objective of beating cash but still make a loss in real terms.

Real Return

Aims to maintain the capital value of the portfolio in real terms over an investment cycle

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  • 5

Annualised returns (net of fees) since Inception (30 September 2010)

7.27%

Real Return Strategy TR GBP

5.05%

Peer Group: ARC Balanced Asset PCI TR GBP

Risk budget

50%

Risk assets

50%

Stabilising assets

Can tactically adjust weighting to growth assets, for short periods, not to exceed 65%.

Suitable for:

Investor with a time horizon of more than five years looking to achieve an inflation-beating total return in their portfolio.

Download the latest factsheet

 

Download the latest ARC factsheet

 

Annual performance to last quarter end

 

FromSep 2017Sep 2016Sep 2015Sep 2014Sep 2013Sep 2012
ToSep 2018Sep 2017Sep 2016Sep 2015Sep 2014Sep 2013
Real Return Strategy TR GBP 1.75%2.97%18.67%3.81%6.20%10.60%
ARC Balanced Asset PCI TR GBP 3.10%6.13%9.96%0.84%5.23% 8.05%

As of: 30 September 2018

Source: Tacit Investment Management; Morningstar Adviser Workstation. Strategy performance is shown in GBP, net of management fees and calculated on a total return basis, with net income reinvested. Benchmark performance is shown in GBP, gross of management fees with all income reinvested. Past performance is not a guide to future performance. The value of investments can fall. Investors may not get back the amount invested. Income from investments may vary and is not guaranteed.

Any words of warning?

We are in a period of higher inflation and low interest rates. To achieve the client’s objective, we have to use a reasonable amount of risk budget, which means capital losses can be experienced, particularly over short periods.

Steady Growth

Aims to grow the capital value of the portfolio

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  • 5

Annualised returns (net of fees) since Inception (30 September 2010)

8.14%

Steady Growth Strategy TR GBP

6.52%

Peer Group: ARC Steady Growth PCI TR GBP

Risk budget

75%

Risk assets

25%

Stabilising assets

Can tactically adjust weighting to growth assets, for short periods, not to exceed 85%.

Suitable for:

Investor with a time horizon of more than seven years who is looking for capital growth (above inflation) but who cannot tolerate the drawdowns experienced by investing in equities alone.

Download the latest factsheet

 

Download the latest ARC factsheet

Annual performance to last quarter end

 

FromSep 2017Sep 2016Sep 2015Sep 2014Sep 2013Sep 2012
ToSep 2018Sep 2017Sep 2016Sep 2015Sep 2014Sep 2013
Steady Growth TR GBP 6.19%8.15%19.59%3.04%5.67%11.28%
ARC Steady Growth PCI TR GBP 5.15%8.67%13.54% 0.47%5.84% 10.77%

As of: 30 September 2018 

Source: Tacit Investment Management; Morningstar Adviser Workstation. Strategy performance is shown in GBP, net of management fees and calculated on a total return basis, with net income reinvested. Benchmark performance is shown in GBP, gross of management fees with all income reinvested. Past performance is not a guide to future performance. The value of investments can fall. Investors may not get back the amount invested. Income from investments may vary and is not guaranteed.

Any words of warning?

Clients are much more dependent on equity markets in this portfolio. This should enhance returns but can mean volatility on a day-to-day basis and clients need to be comfortable with this.

Total Return

Aims to optimise the capital value of the portfolio

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  • 4
  • 5

Annualised returns (net of fees) since Inception (30 September 2010)

10.20%

Total Return Strategy TR GBP

7.55%

Peer Group: ARC Equity Risk PCI TR GBP

Risk budget

100%

Risk assets

0%

Stabilising assets

Can tactically adjust weighting to stabiliser assets, for short periods, not to exceed 15%.

Suitable for:

Client with a time horizon of more than seven years and a high tolerance for risk who can accept significant variation in capital values in pursuit of the long-term objective of maximising returns. This client is typically in the accumulation phase of life.

Download the latest factsheet

 

Download the latest ARC factsheet

Annual performance to last quarter end

 

FromSep 2017Sep 2016Sep 2015Sep 2014Sep 2013Sep 2012
ToSep 2018Sep 2017Sep 2016Sep 2015Sep 2014Sep 2013
Total Return Strategy TR GBP9.41%11.53%21.63%4.59%7.30%14.83%
ARC Equity Risk PCI TR GBP6.52%10.69%15.89%-0.51%6.24%14.06%

As of: 30 September 2018

Source: Tacit Investment Management; Morningstar Adviser Workstation. Strategy performance is shown in GBP, net of management fees and calculated on a total return basis, with net income reinvested. Benchmark performance is shown in GBP, gross of management fees with all income reinvested. Past performance is not a guide to future performance. The value of investments can fall. Investors may not get back the amount invested. Income from investments may vary and is not guaranteed.

Any words of warning?

Equity markets can fall and there will be volatility with this portfolio.

Our investment approach

We believe our process and our strategies can meet the core needs of most of your clients.

An experienced team

Not much to look at, we know, but decades of experience managing investments institutionally.