|1||Absolute return investing is about beating inflation at the lowest possible risk.|
|2||Risk is defined primarily as the risk of losing money. Much more attention is given to potential downside than potential upside when investment decisions are taken.|
|3||Downside volatility is regarded as more detrimental than overall volatility. Absolute volatility is very important in managing the protected component of the portfolio. It is extremely important to limit losses – these are very difficult to make up over time as these eventually lead to risk-seeking behaviour.|
Read the latest insight from our investment professionals.
Read how we’re assessing the domestic and global environment, managing risks and capturing opportunities in this issue.Read more