The Lorica Wealth Management philosophy is built upon established and proven research which helps us avoid mistakes which can ultimately prove costly.

Timing the Market

It is easy to explain a market with the benefit of hindsight but the fluctuations are rarely regular and predictable. Attempting to predict performance based on yesterday’s information is impossible and flawed. The Lorica view is that it is all about asset allocation.

Attempting to Pick Winners

For an individual investor to pick winners they need to be very lucky, possess a detailed knowledge of that stock, or else have inside information. In our experience they are rarely successful so we favour well managed, “collective” investment funds which have access to comprehensive research and spread risk.

Relying on Past Performance

It is crucial to the Lorica Wealth Management team that we have access to comprehensive research of funds and their managers as past performance is not necessarily a guide to future returns. LWM will utilise research about the fund managers as often these people are the key to top quartile performances.

Following the Press

The media has a history of creating interest in investments through stories that are often poorly researched and ill considered. There is no accountability for this and as such we disregard much that is written instead relying on the specialised research to which we subscribe.

Relying on “Experts”

So called “experts” often have their own agendas and to rely on their published opinion is fundamentally dangerous. Individuals can take their advice very seriously without due consideration and suffer consequential losses.

Failing to Set Investment Objectives

Every investor should have a thorough understanding of what they are trying to achieve. Once this understanding is reached it becomes much easier to plan a consistent and considered strategy. We see, far too often, that individuals have approached this in an unstructured way.