How we build your Alpha Manager Portfolios

Here at City House Investors, we do things a bit differently. When we build your Alpha Manager Portfolios we take pride in looking after your investments “the Yorkshire Way”. You could say we’re “Yorkshire stubborn or evenbloody minded” about the way we choose our Fund Managers.

Before working for City House Investors, they need to be proven top performers. All our active managers are Alpha Manager rated, which means they have consistently outperformed throughout their careers. Now they’re working for us on your behalf they need to keep on performing year after year, that’s just how it is.

Reviewed every 3 months

Not only that, you can be sure your money is “being properly looked after” all of the time. We monitor performance continually and review our Alpha Managers every 3 months.  We also send you detailed Portfolio reports every 3 months, with straight forward information designed so be easily understood. So you can monitor performance for yourself and “keep us on our toes.”

Do you have a “wrap” for your existing investments, Personal Pension or ISA? We’ve made it very simple for you to gain access to our high performing Alpha manager portfolios. Your account can stay exactly as it is now, you don’t have to change anything!  All you need to do is complete our sign up now process to appoint us as managers and then we will do the rest.

The technical stuff

City House Investors build Alpha Manager portfolios for you. They’re run to match the risk that you’re willing and able to take, and help you achieve your investment goals. We offer high quality multi-asset Alpha Manager Portfolios built to meet your risk profile.

We decide which asset classes are included in each Alpha Manager Portfolio in association with Dynamic Planner. This is an asset allocation system, which has been developed in conjunction with Oxford Risk, led by academics from the University of Oxford.

Our Alpha Manager Portfolios are built to maximize expected return for a given level of risk. Considering that risk is an inherent part of higher reward. We aim to construct optimal portfolios offering the maximum possible expected return for a given level of risk. Our Alpha Manger Portfolios are populated with a carefully selected mix of equities, fixed interest, property and cash.

At City House Investors we choose active investment managers with a proven track record. We only include active fund managers within our Portfolios that have been awarded the prestigious FE Alpha Manager Rating. These ratings are designed to distinguish fund managers who have consistently performed well over the longer term. By rating the performance of a fund manager over their entire career.  This includes all funds they have managed at different fund management companies. Here are the current Alpha Rated Managers that we include in our portfolios.

The FE Alpha Manager Ratings robust methodology is comprised of two key components.

These ratings recognise a manager’s ability to create risk-adjusted alpha. This means outperformance in both rising and falling markets, and those who consistently beat their sector peers.

Risk adjusted alpha/Sortino (with track record length bias) and consistent outperformance of a benchmark overall.  The calculation period runs from the 1st January 2000, essentially identifying managers with the strongest long term performance.

In some sectors there is no manager currently that has been awarded the FE Alpha Manager Rating. We believe this indicates that there is not currently a manager that can constantly outperform. We include low cost index tracking funds in this instance.

Firstly we narrow our universe to funds run by Alpha Rated Managers. Next we refine this universe with the additional filters of FE Crown Fund Ratings and Morningstar Analyst Ratings. This determines our current fund selection.

FE Crown Fund Ratings

FE Crown Ratings allow us to distinguish between funds that are strongly outperforming their benchmark and those that are not. They take into account three key measurements to derive a fund’s performance: alpha, volatility and consistently strong performance.

Morningstar Analyst Rating

The Morningstar Analyst Rating is the summary expression of Morningstar’s forward-looking analysis of a fund. Their Analysts evaluates funds based on five key pillars. Process, Performance, People, Parent, and Price. Which its analysts believe lead to funds that are more likely to outperform over the long term on a risk-adjusted basis.

We understand that helping you prepare for your future is what straight forward high quality, professional investment management is all about. The future is uncertain though and none of us can predict it.  Simply choosing a static basket of funds today with no robust ongoing review strategy is unlikely to ensure that the investments that you chose today are suitable in the long term. That is why we knuckle down and work in your portfolio every 3 months without fail to keep your money working hard and inline with our agreed investment mandate.