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Contact Us

Address:

New Barn

Manor Farm Courtyard

Southam Lane

Southam

Cheltenham

Gloucestershire

GL52 3PB

Phone: +44 (0)1242 514563

© 2018 by HDA Chartered Financial Planners

The Financial Ombudsman Service is available to sort out individual complaints that clients and financial services businesses aren't able to resolve themselves. To contact the Financial Ombudsman Service please visit www.financial-ombudsman.org.uk.

HDA is the trading name of Hugh Davies Associates Limited which is authorised and regulated by the Financial Conduct Authority (Firm no. 125569). Registered in England No. 1998413.   Registered Office New Barn, Manor Farm Courtyard, Southam Lane, Southam, Cheltenham, GL52 3PB.  Telephone: 01242 514563

The HDA Blended Strategies offer clear and distinct investment approaches targeting either capital preservation, stock market growth or a blend of the two.  Blending these investment strategies has the effect of reducing and diversifying risk.  There will still be times, however, when falling markets will still mean significant losses on the stock market elements of a portfolio.

 

Over the past 15 years we have seen years of stock market growth wiped out by significant market events.  We experienced a prolonged bear market between 2000 and 2003, we suffered the Global Banking Crisis of 2007/08 and in 2016/17 we felt the unpleasant effects of a slowdown in the Chinese economy.

 

To counter the increasingly volatile nature of modern markets our research team has developed highly sophisticated software to analyse enormous amounts of factual data.  The analysis is part of their systematic, rules-based risk management tool which calculates an appropriate level of exposure to stock markets on a daily basis.  The tool considers:

 

  • Investor Sentiment (which impacts on asset valuations);

  • Technical Analysis (study of current price movements and analysis of historical data); and

  • Price Volatility (uncertainty expressed by the direction and magnitude of changes in value).

 

What this means in simple terms is that they will aim to avoid losses when markets are falling (or likely to fall) and achieve gains when markets are rising.  Imagine most of the “ups” with very little of the “downs”.  Genuine back-testing of many years of data suggests that it is perfectly possible to achieve equity-like returns at less than half of the risk normally associated with stock market investment.

 

We have implemented this analysis using Purple Adaptive Global Equity Strategy fund (PAGES) as a core element of our Blended Strategies.  This fund has been developed for HDA by the investment management arm of our research team and was launched in early February 2016.  The fund is able to adjust market exposure on a daily basis through the use of exchange-traded Futures.  Hedging is used to control downside risk only and is never used to leverage market exposure, i.e. this is NOT a Hedge Fund.​

 

The HDA Adaptive Strategy used within our Blended Strategy models offer a level of sophisticated active management that is almost unique in the retail investment arena.  What is more, the strategies are available at a fraction of the cost of similar institutional strategies and they carry no performance fees to dilute returns.

 

We will be publishing data on the performance of all strategies on our website, in our newsletters and on our secure client portal.

Adaptive