OUR INVESTMENT PHILOSOPHY

At Ngwedi, our investment philosophy is centred around capital preservation.  We believe that managing risk, as opposed to returns, is the most effective way to deliver on our clients’ investment objectives.  By minimising capital losses and compounding positive returns, we can ensure superior, consistent, stable returns. The compounded effect of these returns over time leads to long-term wealth creation.
Our investment philosophy leads to a disciplined investment process, which combines valuation assessment, asset allocation expertise and fundamental asset class research. Our investment process is a progressive combination of fundamental and quantitative techniques, which leads to a deep understanding of the opportunities in the market.
FAIR VALUATION
We don’t believe in trying to predict the future, as we’ve found that forecasting is inevitably prone to noise. Instead, we consider current valuations versus their long-term fair-value, selecting only the most promising investments for you.
DIVERSIFICATION
Each of our portfolios is carefully constructed to meet your needs.  We build portfolios with limited downside risk by including assets that are expected to perform differently over various business cycles. These assets are chosen through our investment process, by modelling various scenarios of possible return and risk outcomes.
CAPITAL PRESERVATION
We believe that by minimising losses, we can generate superior, consistent returns over time and ensure long-term wealth creation.  We minimise losses by recognising the sources of potential risk, which allows us to make objective investment decisions and ensure that the risk we are taking on aligns with your risk appetite.
LONG-TERM INVESTMENT
Our long-term investment strategy allows us to build your wealth, and build your financial security, over time.  Ngwedi focuses exclusively on asset management and, in this optimal environment, our investment professionals can maintain a long-term perspective and pursue investment opportunities in your best interest.

ESG FACTORS

We are the custodian of our clients’ assets and are empowered with a fiduciary duty to ensure that we diligently exercise our clients’ ownership responsibilities.
We support the principles set out in the United Nations Principles of Responsible Investing, as well as the South African Code for Responsible Investing, and have incorporated economic, social and governance (ESG) factors into all our investment decisions, to better manage risk and generate sustainable, long-term returns.
We are entrusted to ensure that we create, sustain and protect the value of our clients’ assets at all times. We believe it is mandatory for us to safeguard our clients’ interests through active ownership, monitoring and engagement with the entities that we invest in.

ESG IMPLEMENTATION

Identification and monitoring of ESG risks at inception of the investment
Consideration of ESG risks through fundamental analysis
Materiality of identified ESG risks and their potential impact on investment returns
Engagement with investment entities’ boards or management on ESG risks
Active shareholder participation through voting proxies on listed shares