Portfolio Construction

At Equilibrium, we can help you construct a portfolio that is personalised to you; one that matches your risk profile and aims to meet all of your financial objectives. Our approach to investing is built upon asset allocation and we will work alongside you to ensure that your portfolio includes the perfect mixture of assets to meet your goals.

Find out more about how we can assist with your portfolio construction by getting in touch today. Call us on 0808 156 1176 or complete our online contact form and let us know a convenient time for us to call you back. Our offices are based in Wilmslow and Chester.

Our Services

We offer two levels of service to manage your investments and we will work with you to decide on the one that best suits your needs and circumstances.

Advisory Management

Working with you on an advisory basis, we will make your recommendations in relation to your portfolio based on market conditions and your personal circumstances and objectives. You will then decide whether to proceed or not each time, which could cause a delay in action being taken.

Discretionary Management

Working with you on a discretionary basis, this allows you to delegate some or all of your ongoing investment decisions to us. We will be able to make changes to your investments without contacting you first.

Our Portfolios

Our investment experts blend asset and equity classes to create diversified investment portfolios. Extensive research has shown that asset allocation is the most important decision when constructing a portfolio, with the individual fund or stocks purchased within each asset class of secondary importance.

Our investment approach is built on asset allocation, which is defined as the mixture of assets in which a portfolio is invested. At Equilibrium, we have two types of portfolio:

  • Strategic - This has a long-term target and a five-year view
  • Tactical - This has a short-term target and an 18-month view

Strategic Portfolios

A strategic portfolio has a long term target (a five year view) and is where we would invest if all asset classes were perceived to be valued 'normally'. The first step in the construction of your portfolio is to determine the long-term strategic asset allocation that is right for you.

We might also invest in line with the strategic allocation if we were not actively managing an investment but simply putting together a 'buy and hold' portfolio for the long term.

Tactical Portfolios

A tactical portfolio has a short term target (typically an 18 month view) and is how we adapt the strategic allocation to take account of current market conditions. For example, if we felt one asset class in your portfolio had lower prospective returns or higher risks than normal over the short term, we would hold less exposure than in the strategic allocation.

If we felt another asset class had greater risk-adjusted returns, we might hold more exposure than our strategic allocation.

Product Wrappers

An important part of our service is to achieve the right balance of product wrappers to maximise tax efficiency. Where appropriate, we would use a wrap platform which will typically allow you to invest in a range of different product wrappers, such as a personal pension, ISA or bond.

In general terms, we will take the following approach:

  • Review existing portfolio structure, including relative size of ISAs, pensions, general accounts and bonds
  • Use annual ISA and pension allowances, as appropriate
  • Manage assets in general account to use annual Capital Gains Tax exemptions
  • Consider any investment bonds looking at gains, withdrawals and top-slicing for tax-efficient management of gains

Topping up ISAs and Pensions

Under our discretionary service we are also able to make additional annual ISA and pension contributions on your behalf where appropriate, without prior notification if previously agreed at the outset. These contributions would be made directly from the assets we manage for you. You would then receive paperwork directly from the wrap platform provider to confirm this contribution. However, on occasion we will require extra information and will contact you in advance.

Contact Us Today

At Equilibrium, our expertise will help to ensure your portfolio is constructed with your best interests at its core and with the aim of meeting and exceeding all of your financial objectives. We help clients from across the North West, including Manchester and Cheshire. To find out more about how our experts can help you call us on 0808 156 1176. Alternatively, complete our online contact form and a member of the team will give you a call back at a time that is convenient for you.

The information contained within the website should not be looked upon as advice or recommendation. Clients should seek the appropriate guidance from their financial planner.