For all its activities, DECALIA’s methodology is governed by a certain number of principles, applied on a daily basis by all its employees.
Enlisting the best talent
Talent also lies in finding talent
This may seem obvious, but to obtain the best performances, one needs the best managers.
Thus, while DECALIA has certainly developed expertise in several essential asset classes, it also knows how to call on the best external skills whenever this can contribute added value.
Thanks to an extensive network of contacts and vast experience in manager selection, DECALIA has built up a specific know-how in identifying and analysing the best talent, across a wide range of themes, styles and asset classes.
Our first objective: to protect capital
Superior performance over the long term can only be achieved through consistent results. Good management is thus above all cautious management which – while naturally seeking capital growth – aims primarily to limit downside risk.
Not only is such a strategy more reassuring for investors but it is also more rewarding in the long run, taking into account the compounding effect of investment results.
Limiting downside risk
Preparing for the worst so as to be able to avoid it
In asset management, losses are always difficult to recoup. The ability to limit risks is thus just as important as the ability to generate high returns.
But portfolio management does not necessarily have to be a zero-sum game, in which stock market crises erase the gains made during the previous positive years. On the contrary, modern financial engineering comprises advanced management techniques and sophisticated risk control tools. These make it possible to offer management with an asymmetric profile, limiting the risk of depreciation while presenting an attractive potential to realise gains.
As long as it is not possible to foretell the future, diversification will be necessary
Sound diversification of investments – across asset classes and securities – is one of DECALIA’s essential risk reduction principles. Likewise, excessive concentration of assets is avoided. These two rules make for significantly reduced exposure to specific risk, as well as limiting the domino effect, all too often observed when investments are strongly correlated.
Adding value through active management
Active management, with a pilot at the controls
Far from the current trend towards indexing, which leaves investors on their own to face the market, DECALIA shoulders its responsibilities, providingactive management with strong convictions.
Even though active management requires a sound macroeconomic scenario and high-quality fundamental analysis, it is the only form of management able to add value by detecting under- and over-valuations. And, above all, able to protect capital in the event of a sustained market downturn.
80% of a portfolio’s performance derives from asset allocation. In this respect, having hands-on experience of a wide variety of market conditions enables DECALIA to keep a cool head and take the necessary decisions calmly.