How we invest
Fiducian’s unique investment philosophy prioritises consistency of performance and ensures we manage our clients’ portfolios with expertise, integrity, and with their best interests in mind.
Fiducian’s investment philosophy
Fiducian’s long history of delivering value for our clients is built on four pillars that underpin our approach to investing.
Conviction
We believe that a highly active investment style will deliver above average returns for below average risk over the medium to long term.
Expertise
Choosing the right fund managers, at the right time, can generate long-term outperformance over traditional active and passive investment approaches.
Consistency
Our approach is highly active, yet highly structured—we don’t deviate from set asset allocation ranges and quickly replace managers when we feel that they cannot achieve their objectives.
Transparency
We keep our clients and advisers well informed about the structure and performance of their investments.
Conrad Burge, Head of Investments
The Fiducian investment process
Our investment team employs a rigorously tested investment process spanning three key areas.
Macro fundamentals
Careful analysis of the global macro-economic environment to arrive at asset allocation decisions which we then keep within strictly determined ranges.
Manager selection
A thorough, research-based process for the selection of well-performed fund managers to operate individual mandates for our multi-manager share and bond funds.
Portfolio flexibility
Our ability to rapidly tilt towards or away from individual managers or asset classes as required in response to changes in manager performance or market events.
Choosing the right managers at the right time
We operate all our funds under Fiducian’s unique Manage the Manager System. This highly diversified multi-manager, multi-style and multi-disciplined process aims to reduce risk but still deliver above average returns over the medium and long term.
Where we invest
Fiducian’s approach is designed to deliver better risk-adjusted returns via a high level of diversification across asset types, fund manager investment styles, industry sectors and regions of the world.
Our funds only invest in liquid assets such as cash, securities listed on recognised stock exchanges, managed funds that provide daily liquidity and pricing, or in liquid and tradeable sovereign and corporate bonds. We avoid illiquid assets including unlisted property and infrastructure, venture capital and private equity.
Monitoring and research
Fiducian has delivered strong results for over 25 years because of the inherent benefits of our active investment approach, but also because we continually review and refine it. Our investment team’s ongoing monitoring and research work broadly covers two key areas:
The macro-economic environment
We closely monitor news events and trends in the domestic and global economic and political environments and business cycles, and are always ready to alter our asset allocations in response.
Fund manager performance
We continually review how each of our underlying investment managers is performing relative to benchmarks, and to make sure their fund isn’t deviating from its original management style and investment process.
Investment governance
Fiducian Investment Management Services Limited is the responsible entity for each of the Fiducian Funds. Our investment process is mandated under a robust three-tier governance and operating structure.
- 1
Investment Committee
Made up of two internal and two external industry professionals, this expert forum provides an unbiased overview of the investment process, major strategy changes and regulatory compliance. - 2
Investment management team
Led by Conrad Burge for over 20 years, our investment team is responsible for setting strategy, tactical decision-making, economic analysis and fund manager research and selection. - 3
Investment operations
This dedicated team manages operations, accounts, legal, reporting functions and custodial services.
Talk to your financial adviser
It's important to talk to a licensed financial adviser before making any decisions about your investments.
Everyone's circumstances are different, so your adviser will create a tailored financial plan with you that sets you on the right path towards achieving your goals.
How to invest in the Fiducian Funds
The first step in investing with Fiducian is to have a chat with your financial adviser.
The Fiducian Funds range of wholesale investment funds are available through master trust, investor directed portfolio services (IDPS) and wrap account superannuation and investment platforms.
The full range of Fiducian Funds is available, along with many other benefits, through our Fiducian Superannuation Service and Fiducian Investment Service.
