14 March 2007
STRATEGIC ASSET ALLOCATION SERVICE
TURNS IN TWO YEAR PERFORMANCE
Fairbairn Private Bank’s Strategic Asset
Allocation Service “SAAS” recently completed its second year with a
superb cumulative performance of 24.00%* since inception on its US
dollar based model portfolio and 21.85%** on its sterling hedged
model portfolio.
The SAAS investment service, managed by
Fairbairn Private Bank, was created to offer a low to medium risk
approach to market exposure and targets returns by investing in
multi-asset classes rather than individual stocks.
As the objective of the portfolio is to
achieve a real return in excess of risk-free cash interest rates
over a three to five year period, this performance shows that the
service is well on its way to meeting its objective. Investment is
made in all the major asset classes, including cash, bonds,
property, equities and alternative investments, and the asset
allocation is reviewed regularly to reflect changing market
conditions.
SAAS offers excellent diversification of risk
and value for money compared to traditional actively managed funds
and this has led to both the US dollar and sterling hedged models
receiving a top “4 diamond” rating from Guernsey based Asset Risk
Consultants “ARC”. The ARC Diamond Rating provides a performance
assessment that places a Manager’s return into context by examining
benchmark, risk level, style and trend. This maximum rating
indicates that the performance of both SAAS models has
significantly exceeded reasonable expectations and the Manager has
added tangible value through the investment process.
Greg Horton, Managing Director of Fairbairn
Private Bank, comments: “We are delighted to report such strong
performance since the launch of our multi-asset class investment
approach a little over two years ago. SAAS has been specifically
designed to provide a low to medium risk core investment approach
that aims to deliver performance at a highly competitive cost. As
such, it offers an extremely cost effective and flexible solution
worthy of featuring at the heart of any clients’ investment
requirements. It is also ideal as a core holding for professional
trustees and pension planners, and can be supplemented with
additional investments to provide a highly bespoke arrangement
specifically reflecting any client’s individual financial
requirements.”
* US dollar model performance since inception
as at 31 December 2006 (based on income reinvested). US dollar
model inception date 29 December 2004.
** Sterling hedged model performance since
inception as at 31 December 2006 (based on income reinvested).
Sterling hedged model inception date 1 December 2004.
Past performance is not necessarily a guide to
future performance. The value of investments and the income from
them can fall as well as rise and you may not get back the original
amount invested. Exchange rate changes may affect the value of
investments.
Ends
Editor’s notes:
Fairbairn Private Bank operates a successful
and comprehensive private and personal banking operation on behalf
of a wide range of clients. These include private individuals,
professional intermediaries, small and large companies, trusts,
governments and institutional investors. A full range of banking,
investment, trust and corporate services can be accessed through
its offices in the Isle of Man, Jersey and its representative
office in South Africa.
Fairbairn Private Bank is part of the Old
Mutual group of companies.
When referring to Fairbairn Private Bank –
please ensure that the company name is printed in full and not
abbreviated.
For Further Information:
Greg Horton or Lesley
Allegro
Tel:01624 645000
Issued By:
Lisa Creighton, Isle of Man Advertising &
PR Ltd
Tel: 01624 620440