Where Henwood Court differs from the majority of the investment community is the way in which we capture the market returns for you. Whilst many of the active fund management industry believe that they can predict what will happen in the future (‘the dollar will strengthen’, ‘oil prices will rise’, ‘interest rates are going to change next month’) we avoid such crystal ball gazing because there is no evidence that over the long term this delivers consistent outperformance…and because it is expensive. As the former CEO of Barclays, Patricia Dunn once said:
“Investment Managers sell for the price of Picasso (what) routinely turns out to be paint by number sofa art”.
Recent independent evidence suggests that many of the predictions made by bright and busy analysts are as wrong as often as they are right, and once costs (paid by you the investor) are factored in, together with constant changes to portfolios, it has been demonstrated that you can often end up in a worse position than if you had not made any changes at all.
Indeed this has been demonstrated by the returns that we have achieved since adopting the strategy almost 8 years ago, over which time not only have we outperformed the relevant industry benchmarks, we have provided a reassuringly reliable investment experience for our clients, giving the peace of mind and confidence to be able to live the life they want to lead.
Henwood Court’s philosophy can be described as ‘long term buy and hold’, however this needs to be underpinned by a few basic, intuitive and sensible principles.
Follow the link to find out more about these.