Fundamental asset allocation

Like the quantitative strategy, the fundamental strategy of asset allocation spreads the portfolio across different asset classes, but employs an entirely different approach. Here, Gutmann’s assessment of the market is used as the key input in investment decisions.

The fundamental model


With the fundamental model, decisions are based on Gutmann’s assessment of the market taking into account constraints defined by the client. The model is based on the following factors:

  • Implementation and continuous adjustments guided by Gutmann’s expertise and selection process
  • Implementation with a strong focus on individual preferences regarding funds, individual securities and dividend strategy
  • Reliance on fundamental factors to assess the macroeconomic environment and the resulting trends in the financial markets
  • Consideration of microeconomic and macroeconomic factors ranging from corporate earnings to inflation forecasts
  • Use of proprietary indicators for a better assessment of economic developments at G7 country level
  • Consultation of external research partners from world-wide leading providers of independent global investment research including, among others, BCA (Bank Credit Analyst), GaveKal, and Woody Brock of SED (Strategic Economic Decisions)