Investors today are navigating one of the most complex market backdrops in decades — inflation risks, geopolitical tensions, shifting central bank policy, and a world in transition from fossil fuels to new technologies.
Against this environment, our Wealth Builder and Wealth Protector portfolios have delivered exceptional results over the past 12 months.
Disciplined Strategy. Exceptional Results.
Both portfolios comfortably outperformed traditional diversified mixes such as a 60/40 balanced fund (~10–12%) and even high-growth benchmarks (~15–17%). This outperformance was not luck — it came from a combination of conviction, skill, and disciplined portfolio design.
High-conviction thematics played a central role. Uranium was a standout theme: we anticipated a structural renaissance in nuclear energy as governments seek reliable and low-carbon energy sources. Positioning early and with conviction delivered strong returns. Gold and precious metals were another major driver. Despite periods of skepticism, we maintained exposure, recognising the dual role of gold as both a defensive hedge and a beneficiary of central bank demand. Staying on the gold train required discipline and conviction, and it proved to be the right call.
Stock selection added a second layer of value. Innovative global names such as ASTS, Reddit, Rigetti, and Coinbase outperformed broader benchmarks, validating our ability to identify opportunities at the security level. Importantly, performance was not dependent on a handful of outsized bets — returns were delivered by a broad, diversified set of positions.
The integration of top-down and bottom-up thinking has been central to success. Macro foresight allowed us to position differently from consensus, and that foresight aligned with bottom-up conviction in specific securities. For example, our positive stance on China and select EM equities reflected a nuanced reading of the macro environment, while our stock picks ensured we captured the right companies within that theme.
Portfolio construction also mattered. The Wealth Protector portfolio used a barbell approach — balancing growth drivers with defensive anchors such as credit, managed funds, and precious metals. This structure provided resilience and stability, allowing the portfolio to participate in the upside while limiting drawdowns.
Looking ahead, we acknowledge that the future will not be linear. Several scenarios are possible: a soft landing with gradual central bank easing, sticky inflation with slower growth, geopolitical flare-ups, or shifts in China’s growth trajectory. We also consider risks from tariffs and industrial policy. Our portfolios are designed to adapt to these environments. Wealth Builder, with its higher-beta tilt, is likely to outperform in risk-on scenarios but requires active risk management. Wealth Protector, with its balanced barbell, is more robust across regimes and designed to smooth returns.
The bottom line is clear: in a world of uncertainty, the true test of a portfolio is whether it can deliver consistent and resilient results. Our performance over the past 12 months demonstrates that combining macro foresight, thematic conviction, stock selection, and disciplined risk management can achieve just that.
For investors seeking long-term growth with thoughtful risk control, the Wealth Builder and Wealth Protector portfolios represent a compelling proposition.
To find out how our range of SMA portfolios and investment strategies can help your advice business manage your client portfolios, contact Dynamic Asset today.