What to expect from a good multi-manager

The two secrets that underpin a multi-asset class approach to portfolio construction are surprisingly simple and easy to grasp. Firstly, try to diversify the investments as widely as possible across all asset classes and secondly, make an explicit effort to protect the portfolio from market draw downs. Inking in the detail to the outline that these principles provide requires more specific work and in this article we shall try to sketch the next steps in the process – selecting the asset class and then selecting the specific manager (or ETF) that is actually used to provide the exposure....