Global Frontier Portfolio

Objective

Seeks to outperform the MSCI World Equity Index with equity-like volatility through leveraged exposure to a broadly diversified global strategy.

Benchmark

MSCI World Equity Index or the Global Securities Markets Index (a proprietary index).

Concept

In conventional portfolio management, increasing a portfolio’s long-term expected return entails adding riskier equity like assets and reducing the allocation to lower-risk fixed income. The Global Frontier Strategy steps beyond this framework and seeks to provide higher risk-adjusted returns. This is accomplished by taking our flag-ship balanced strategy, the UBS Global Securities Strategy and leveraging the equity risk by using swaps and/or loans.

Investment philosophy

Intrinsic value is determined by the fundamentals that drive a security’s future cash flow.
Discrepancies between market price and intrinsic value arise from market behavior and market structure providing opportunities to outperform.
A truly integrated global approach produces superior research.
Seeks to generate returns from the correction of significant discrepancies between price and fair value.

Investment process

Combines active top-down asset allocation and currency management with active bottom-up security selection.
Flexibility to lever Global Securities Strategy along Capital Market line to the risk equivalent of global equities.
Employs a fundamental price to intrinsic value investment process to asset classes, currencies, and security selection.
Uses market behavior analysis to understand reasoning in the marketplace for prevailing levels of market pricing.
Actively manages risk with the objective of achieving returns that properly compensate for risk taken.

Important legal information - please read the disclaimer before proceeding.

Products and services in these webpages are not available for US persons, for the exclusion of residents of other nations see the disclaimers relating to the actual services.