The portfolio is subjected to two levels of risk analysis. First, MultiFRAME, our proprietary risk-management system, assesses top-down market risk. It has the flexibility to stress-test the portfolio, interpret how it would respond to different market environments and measure its exposure to any quantifiable risk. Second, we perform a bottom-up ‘sense check’ to ensure that the model has accurately assessed the nuances of each potential investment. At this stage, the ESG Dashboard, another proprietary tool, alerts us to stock-specific environmental, social and governance risks not typically covered in fundamental analysis of companies.
1. Since inception on 01 December 2007 the Hermes Global Equity Strategy has outperformed the MSCI World Net index by 1.47% on an annualised basis as at 30 September 2018. Performance shown is in USD and is gross of fees. A full GIPS disclosure report is available on the latest strategy factsheet.
Past performance is not a reliable indicator of future results and targets are not guaranteed.