PARSUMO Capital believes in an active risk management strategy and disciplined portfolio construction. Thanks to our detailed knowledge of how asset classes behave in different market conditions, this philosophy results in higher returns over the long term.
PARSUMO Capital’s approach is guided by the following principles:
- Equity markets as an asset class are not always efficient, i.e. they are macro-inefficient.
- The largest equity markets (USA and Japan) are efficient at the individual stock level; many, however, are not and are therefore micro-inefficient.
- Successful diversification must allow for the expected risk environment.
- Discipline and professional methods are reliable tools for controlling risk.
- Investment approaches must take the current and prospective market conditions into account and therefore be dynamic and not static.
The investment approaches adopted by PARSUMO Capital implement these findings systematically and aim to benefit from the growth potential of capital markets for traditional asset classes.