Shard Capital has announced the launch of its new flagship series of investment strategies, the Permanent Portfolio range.
The group’s Permanent Portfolio approach was soft launched internally in 2020, and the results have been very positive, it says. The Permanent Portfolio range includes risk profiles from Cautious to Steady Growth and is available to clients of IFAs across the UK, Europe and Internationally.
The Permanent Portfolio’s investment objective is to preserve and grow client assets in excess of inflation across different economic regimes and providing protection against severe market drawdowns. An intelligent rebalancing framework underpins the product range, only rebalancing when an asset contributes too little or too much to risk, as opposed to a fixed frequency rebalancing framework.
The Permanent Portfolio range was designed in response to the Shard Capital investment team’s conviction that traditional 60/40 models and variations, are no longer fit to meet the needs of investors in an economic regime characterised by an increasingly uncertain and volatile inflationary backdrop, and the resulting devaluation of fiat currencies.
Ernst Knacke, Head of Investment Research, at Shard Capital, commented: “The Permanent Portfolio was born out of our belief that the traditional 60/40 portfolio mix of equities and bonds will no longer provide investors with the growth potential nor the diversification benefits with the emergence of the Fiscal Age.”
“Our expectations are that rising debt bubbles, demographic headwinds and technological advances, will underpin socioeconomic and geopolitical uncertainty, resulting in increasingly volatile inflationary regimes and challenging economic growth, which we have not experienced in a post-WWII era.”
“The Permanent Portfolio launch marks a new generation of investment solutions that is fit for the future – shielding against severe capital market dislocations whilst capturing the benefits of an improved diversification profile. Lower volatility, with better returns.”
The Permanent Portfolio range is available in GBP, EUR and USD directly with Shard Capital or via third-party platforms.
