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Separately Managed Account Mandates

For both individual and institutional investors, Separately Managed Accounts are for those who prefer to have their portfolio managed on an individual, segregated basis.

Account sizes range, however, the minimum portfolio investment for this service is $2,000,000 per mandate.

TACTICAL ASSET ALLOCATION MANDATE

Mandate Construction

The Tactical Asset Allocation mandate is a diversified core portfolio holding up to 60 securities. The income portion of the portfolio of the Tactical Asset Allocation mandate may include preferred shares, T-bills, provincial and Canada bonds, corporate and convertible bonds. Equity holdings are not restricted by market capitalization or sector; however, our strict liquidity requirements require that the Tactical Asset Allocation mandate invest only in actively traded securities.

Investment Objectives

The primary objective of the portfolio is to produce a balance of income and long term growth through the judicial use of tactical asset allocation.

Investment Philosophy and Style

  • Style
Our Disciplined Leadership Approach is an active, style agnostic process focused on understanding the current market environment and recognizing change. The approach focuses on identifying trends at play in the marketplace and concentrating portfolio investments in those areas for as long as those trends remain intact. This approach also places particular emphasis on protection of capital. By consistently monitoring for change, applying a disciplined selling strategy and making tactical use of cash, we attempt to protect portfolios from staying invested in unproductive assets or during pervasive market weakness.
  • Investment Process
We use top-down market and sector risk assessment models to establish an asset allocation strategy. This strategy is continually reassessed to manage the allocation of market exposure versus cash and short-term deposits. By combining this approach with quantitative security selection analysis to identify market leaders, the team attempts to provide consistent absolute returns coupled with a low correlation to indices.
  • Research
The Barometer team conducts the majority of its research internally. The team maintains a proprietary quantitative ranking system that includes an assessment of credit worthiness, sustainability of cash distributions, probability of increased distributions, incentive structure for management, demand for continued capital investment, economic sensitivity, competitive threats and relative yields versus the market and sector.
  • Risks
The mandate is based on a strategic asset allocation. In implementing this strategy, the mandate will invest in a number of underlying securities in order to obtain the desired asset allocation. The performance of the mandate will be related to the performance of the underlying equity and income producing securities held in the mandate’s portfolio. The mandate may be exposed to capital depreciation risk, concentration risk, currency risk, emerging markets risk, equity risk, fixed income risk, foreign market risk, general market risk, income trusts risk, index risk, legal and regulatory risk, liquidity risk, securities lending, repurchase, and reverse repurchase agreements risk, significant holdings risk, smaller companies risk, and sovereign debt risk.

TACTICAL EQUITY MANDATE

  • Mandate Construction
The Tactical Equity mandate is a concentrated core portfolio of up to 45 equity securities. Our main objective is identifying leading companies in leading sectors, and we do not restrict the holdings of the Tactical Equity mandate by market capitalization or sector. Our strict liquidity requirements require that the Tactical Equity mandate only invests in actively traded securities. The Tactical Equity Mandate is composed of equity securities without geographic restriction.
  • Investment Objectives

The primary objective of the mandate is to achieve long-term capital appreciation by investing in leading companies in leading sectors.

Investment Objectives

  • Style
Our Disciplined Leadership Approach is an active, style agnostic process focused on understanding the current market environment and recognizing change. The approach focuses on identifying trends at play in the marketplace and concentrating portfolio investments in those areas for as long as those trends remain intact. This approach also places particular emphasis on protection of capital. By consistently monitoring for change, applying a disciplined selling strategy and making tactical use of cash, we attempt to protect portfolios from staying invested in unproductive assets or during pervasive market weakness.
  • Investment Process

We use top-down market and sector risk assessment models to establish an asset allocation strategy. This strategy is continually reassessed to manage the allocation of market exposure versus cash and short-term deposits. By combining this approach with quantitative security selection analysis to identify market leaders, the team attempts to provide consistent absolute returns coupled with a low correlation to indices.

  • Research
The Barometer team conducts the majority of its research internally. The team maintains a proprietary quantitative ranking system that includes an assessment of credit worthiness, sustainability of cash distributions, probability of increased distributions, incentive structure for management, demand for continued capital investment, economic sensitivity, competitive threats and relative yields versus the market and sector.
  • Risks

The mandate is based on our Disciplined Leadership Approach. In implementing this approach, the mandate will invest in a number of underlying securities in order to obtain the desired composition. The performance of the mandate will be related to the performance of the underlying equity securities held in the mandate’s portfolio.

The mandate may be exposed to capital depreciation risk, concentration risk, currency risk, emerging markets risk, equity risk, fixed income risk, foreign market risk, general market risk, income trusts risk, index risk, legal and regulatory risk, liquidity risk, securities lending, repurchase, and reverse repurchase agreements risk, significant holdings risk, smaller companies risk, and sovereign debt risk.

INCOME MANDATE

  • Portfolio Construction
The Income mandate is a diversified core portfolio holding up to 60 securities. The mandate may include preferred shares, T-bills, provincial and Canada bonds, corporate and convertible bonds. The goal is to minimize risk by diversifying security holdings and purchasing income investments that exhibit the best risk reward.
  • Investment Objectives
The investment objective of the mandate is to achieve a high level of income by investing primarily in income producing securities.

Investment Philosophy and Style

  • Style

Our Disciplined Leadership Approach is an active, style agnostic process focused on understanding the current market environment and recognizing change. The approach focuses on identifying trends at play in the marketplace and concentrating portfolio investments in those areas for as long as those trends remain intact. This approach also places particular emphasis on protection of capital. By consistently monitoring for change, applying a disciplined selling strategy and making tactical use of cash, we attempt to protect portfolios from staying invested in unproductive assets or during pervasive market weakness.

  • Investment Process

We use top-down market and sector risk assessment models to establish an asset allocation strategy. This strategy is continually reassessed to manage the allocation of market exposure versus cash and short-term deposits. By combining this approach with quantitative security selection analysis, the team works to achieve consistent, sustainable and growing cash distributions complemented by growth of capital.

  • Research
The Barometer team conducts the majority of its research internally. The team maintains a proprietary quantitative ranking system that includes an assessment of credit worthiness, sustainability of cash distributions, probability of increased distributions, incentive structure for management, demand for continued capital investment, economic sensitivity, competitive threats and relative yields versus the market and sector.
  • Risks
The mandate is based on our Disciplined Leadership Approach. In implementing this approach, the mandate will invest in a number of underlying securities in order to obtain the desired allocation. The performance of the mandate will be related to the performance of the underlying income producing securities held in the mandate’s portfolio. The mandate may be exposed to capital depreciation risk, concentration risk, currency risk, derivative risk, emerging markets risk, equity risk, fixed income risk, foreign market risk, general market risk, income trusts and limited partnerships risk, index risk, legal and regulatory risk, liquidity risk, securities lending, repurchase, and reverse repurchase agreements risk, significant holdings risk, smaller companies risk, and sovereign debt risk.