Area our expertise

 

Investment philosophy

We believe that by having a local presence coupled with an extensive global network of partners we are able to offer competitive products for the benefit of our clients. Our philosophy is based on the belief that through rigorous research we can identify market anomalies and drive superior and consistent investment results for our clients over the longer term.

Our goals are completely aligned with our clients' - the creation of long-term value. Having a long-term approach is not only reflected in our portfolios, but also in the fact that our investment specialists have an average industry experience of 15 years, and have worked with Dodson Norwood since its inception.

By being present in the local markets we can better understand our clients’ needs and provide more flexibility, better market insight, and improved quality while simultaneously ensuring premium client service. It is a philosophy that we apply to all areas of our company, from investment management to our commitment to engage with clients proactively and dynamically in partnership.

The result is a company that emphasizes innovative research, and that offers a full range of asset management activities which allow us to meet the needs of our clients. At Dodson Norwood, we seek to deliver excellence in all that we do for our clients.

Our research team is a uniquely talented group with expertise in global capital markets, risk management, and manager/instrument due diligence.  Dodson Norwood excels in three primary areas: Strategic Asset Allocation, Tactical Asset Allocation and Manager Selection.

 

Strategic asset allocation

Dodson Norwood builds investment portfolios based on long-term strategic asset allocations that seek to:

  • Achieve attractive returns while balancing risk, return, and taxes.
  • Be robust under foreseeable economic circumstances.
  • Be well-diversified by type of market exposure and manager strategy.
  • Incorporate both historical and forward-looking expectations of asset and sub-asset class risk/return characteristics.

 

Tactical asset allocation

We seek to enhance portfolio returns by tactically adjusting exposures as market conditions change and opportunities arise.

We overweight exposures that we believe have attractive risk/return characteristics on a forward-looking basis and tactically underweight exposures that we believe are less attractive.

 

Manager selection

We implement our asset allocation strategy using a mix of alpha and beta instruments in public and private markets as appropriate to the client's portfolio including hedge funds, private equity, commodities and real estate investments.

In less efficient markets, we are likely to express our views using an active management approach and our extensive sourcing network.

In more efficient markets, we typically use more cost-effective, index-oriented instruments that are liquid and easy to rebalance.

Dodson Norwood seeks to deliver attractive returns to investors by identifying and gaining meaningful access to high quality investment stratifies in a manner that would be difficult to replicate without the commitment of significant human and financial resources.

We achieve this through detailed, bottom-up analysis of specific opportunities and top-down evaluation of market dynamics.

Our firm follows a structured and highly disciplined investment process in building private equity fund portfolios, leveraging the knowledge, experience and capabilities of each team member. This process aims to identify target funds early, well ahead of fundraising, supported by extensive local and regional market coverage.

As a fully integrated private equity investment specialist we construct investment programs that combine different investment opportunities to minimize the J-curve effect and maximize returns and the benefits of diversification.

 

Secondary investing

Our experience in secondary transactions and our deep investment expertise in private equity allow us to acquire portfolios on a global basis, focusing on:

  • Buyout, growth capital and venture capital funds
  • Asian, European and US assets
  • Special situations, such as unfunded positions, direct secondaries and stapled transactions

Purchasing private equity fund investments on the secondary market has historically produced attractive risk-adjusted returns and Dodson Norwood believes that this will continue because secondaries:

  • Comprise a large and growing market – it is expected to continue expanding in line with the growth of primary commitments over the past five years, further driven by private equity investors who access the market to manage their portfolios
  • Offer the opportunity to acquire quality assets at attractive prices – a growing pool of sellers with liquidity needs enables buyers like Dodson Norwood to acquire assets at attractive prices
  • Provide rapid exposure to high quality private equity assets – investors gain access to funds that were not available when originally raised and that contain high-performing underlying companies which are closer to exit
  • Enable investors to mitigate the private equity J-curve – secondary assets have already gone through the J-curve, enabling investors to realize returns much faster than with primary investing

 

Asset management

A broad experience in managing assets for institutional and retail clients.

We offer excellent products, covering a broad range of equity and fixed-income investment styles and multi-asset products.