Investment Philosophy

Fiera Sceptre is a research-driven investment firm. We believe that our clients' investment returns derive from knowledge – which we gain from independent market-leading research. For us, knowledge is capital. It is also a prerequisite to efficient risk management.

Investment returns in excess of market averages are driven by knowledge that is not already embedded in asset pricing. We believe independent research creates the undiscounted knowledge that drives the excess returns that our clients seek.

At Fiera Sceptre, research is much more than a specialty confined to a specific department. It is the core of our whole investment approach and the basis of all our management processes. Independent research comes in many forms, including:

• Internal bottom-up equity research, which forms the basis for the engine behind the equity strategies our clients require.
• Internal top-down macro-economic research, which is the driving force of our fundamental fixed income and asset allocation processes.
• Internal research in portfolio construction, risk management and financial engineering, which translates into innovative solutions customized to our clients' needs.

Knowledge is Risk Management

Risk management is a pillar of Fiera Sceptre's investment culture. Our investment focus is on achieving optimal performance at a given level of risk – we will not attempt to maximize returns at any cost. As unknown risks are impossible to manage, knowledge is also risk management.

Fiera Sceptre has developed a rigorous and well balanced approach to risk management. Although we recognize the importance of evaluating active risk, we consider quantitative risk management alone to be insufficient. Hence, our risk management approach integrates substantial qualitative elements, including the following:

• Each of our portfolio managers' decisions puts a strong focus on the risk-reward potential.
• We use a distinct set of strategies throughout the risk spectrum.
• Our investment strategies are monitored and reviewed on a regular basis by our chief investment officer to ensure they remain in line with our risk management standards.
• We continuously examine our clients' portfolios to ensure that they are not subject to any undue risk.
• We develop a variety of alternative investment strategies characterized by diversified sources of return and minimal correlation to market movements.