For HNIs

Preserve capital and optimize returns

Enhance and extend the returns to future generations

High net-worth individuals and investing go hand in hand. While HNIs may not feel the need to approach investments from a traditional financial planning position, there is a need to optimize asset allocation and risk tolerance to achieve the most efficient portfolio return.

Even for HNIs, there is such a thing as too much risk. It’s not a simple equation for capital growth; instead, with a relative abundance of capital, there is a need for greater emphasis on capital preservation.

Why do HNIs need a wealth advisor?

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Calibrate risk for better investments

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Preserve capital and optimize returns

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Prioritize asset allocation based on risk portfolio

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Guide through the financial needs and succession planning and philanthropy

To make the investing experience of HNIs a success, there is a need to calibrate risk in such a way that one understands how much capital can be put out at various levels of risk. The assumption often is that HNIs are in a position to chase returns rather than focus on financial goals. While that may be the case, we understand that the mere presence of capital does not warrant adding risk.

The first objective always focuses on preserving capital and optimizing return within that paradigm. This requires a careful assessment of the proportion of capital that can be put under high risk, i.e., the possibility that there is a capital, the proportion that can take calculated risk in the long term, and that portion of capital that needs to grow at a stable rate without risk. The time frame for all these asset choices and investments may be undefined, given that there are no immediate, measurable financial goals to tackle. Hence, the focus is on prioritizing asset allocation keeping in mind the proportionate split between preservation and growth.

Our Financial Freedom Menu

At Hexagon, we take into account the risk calibration needs for HNIs, keeping in mind not just the return maximisation but also the needs to preserve the large capital base. In some cases there is greater emphasis on investing for estate planning, which can help to enhance returns for the next generation too.

We believe that it’s important to have the right mix of financial strategies to address a wide variety of financial needs. These can be fulfilled with the help of a variety of assets within our domestic capital markets and with some allocation to overseas assets as well.

Tax efficiency, periodic review and rebalancing of the portfolio are all matters that advisors at Hexagon can help you with.