Risk management at the core of PSI’s focus

Risk is multi-faceted and cannot be assessed on a single investment/portfolio basis.

Diversification plays a key role in successful wealth management. Nonetheless, the simple idea of ‘not putting all your eggs in one basket’ does not provide the full picture of an efficient diversification. The often-ignored significant positive correlation between particular asset classes – no matter how unrelated those assets are – is the primary reason for massive losses during difficult times and market shocks.

By assessing risk-combined correlations across different parameters and asset classes and by utilizing a sophisticated hedging strategy, PSI can build diversified positions that are less exposed to market directions and achieve absolute returns through adverse market conditions.