Global Asset Management

True Partner Investment Advisory

From the moment we started trading our relative value volatility strategy on behalf of clients back in 2010, we have highlighted the importance of strategies which provide strong returns during periods of market turmoil. When properly applied in an investment portfolio, its contribution transcends that of a mere ‘line item’. 

Through the interplay of crisis-alpha, monetization and active rebalancing a defensive investment can become an engine of outperformance. This has always been the mindset when constructing implementations for our tailored solutions in client portfolios.

But why stop there?

Since 2011, principals of True Partner Capital have advised regulators on matters of market practice and taught trading and investment at the Chinese University of Hong Kong and National Taiwan University. We believe that by now our experience in running various investment strategies and tailoring structured solutions can be put to work across the broadest range of potential clients.

Therefore, we proudly announce the establishment of True Partner Investment Advisory. Servicing asset owners and investment allocators in the following fields:

 

True Partner Investment Advisory applies an independent approach: we are not beholden to any specific advisor or strategy. True Partner Investment Advisory is not a sales channel: we will strive to incorporate offerings and solutions from third-party managers. After having tailored solutions for well over a decade, we know what to look for. 

Independence also entails that we need not follow industry routines just for the sake of it. Having sat on the proverbial ‘other side of the table’ we dare say some conventional wisdom deserves a second, critical look.

 

Portfolio Construction

From a general investment objective or target, the portfolio construction process involves a top to bottom approach continually zooming in until the proper components are identified, selected and subsequently monitored for adherence to the plan.

  • Sounding board on investment policies
  • Pathways for strategic and tactical allocation
  • Strategy selection
  • Manager selection
  • Monitoring of portfolio characteristics: actual versus targeted

Investment and Portfolio Risk Assessment

President Eisenhower said it best. “Plans are useless, but planning is indispensable”. Trading non-linear derivatives, one quickly established that risk analysis is not a static exercise, let alone captured in one static number. A comprehensive scenario-based framework is the best preparation to confidently face uncertainty and risk.

  • Scenario-based return banding
  • Correlation, cointegration and liquidity shocks
  • The risk-reward trade-off

Investment Due Diligence

The best training to evaluate is to be evaluated. Having actively marketed volatility strategies for over 15 years, the team at True Partner Investment Advisory have been through countless due diligence exercises. We have encountered quite a variability in the quality of investment due diligence, ranging from smart constructive questioning which resulted in new analyses on our side to the obligatory ‘checking of boxes’. As such, we know what to ask and how to look.

  • Analysis of factors actually driving performance
  • Comparison of return profile with the stated objective (‘what’s on the tin’)
  • In-depth evaluation of risk management policies and implementation thereof
  • Qualitative discussion on foundation of product’s stated alpha

Education

Whether for the Board or for due diligence staff, the team at True Partner Investment Advisory can share their insights on portfolio construction, use of diversifiers, manager selection, risk management and investment due diligence.