Cardea Investment Philosophy

Cardea’s Investment Objectives

• to produce medium to long-term superior risk adjusted returns
• to preserve capital and increase the absolute wealth of our investors in all market climates

 

Cardea’s Investment Philosophy

Our long term investment philosophy contains a focus on the below four different areas:

• Capturing long-term asset returns across asset classes
  Each asset class has a built-in embedded risk premium or return that will provide investors with above-mentioned cash and inflation returns when being invested over the long term. We aim to capture this risk premium across asset classes globally.


• Strategic asset allocation
  The strategic asset allocation is proven to generate over 91% of all returns in a portfolio; therefore, Cardea is using our own proprietary allocation model as a base when we invest our client’s assets. The model has been successfully tested over long periods of time to produce robust returns.


• Diversification
  Diversification is a key driver when we build our portfolios. The more diversified a portfolio is across asset classes the higher risk adjusted returns will be and the lower the risk. This drives us to constantly make sure that we are as diversified as we can be and to constantly revise new ways of furthering our diversification.


• Mix between passive indexing and active alpha generation
  We combine the low cost benefits of passive investing through ETF’s with the alpha generation and out-performance of a selected number of well-researched hedge funds and managed futures investments to achieve what we see as an optimal portfolio.