We create Plutus as a vehicle for creating Model Portfolios we decided to adopt a building block approach in order to be able to diversify the investments and in so doing mitigate risk without negatively affecting performance. That strategy has paid dividends and currently our model are performing incredibly well on a risk adjusted basis
About Us
Plutus Capital was founded in 2016 by Brian and Andrew Goodall. The intention behind Plutus was to create Model Portfolios, as we believe that using Models are a more efficient way of allocating funds, what is of paramount importance is the partnerships with the advisory service and with the Discretionary Managers. We began an exhaustive process in 2015 in order to find the right partners for us and our clients, as we were well aware of the pitfalls of merely creating models using just balanced funds.
What is a model portfolio?
Essentially when we created Plutus we did not want to use a variety of balanced funds within a model as this would merely add an additional layer of costs without providing a sufficient benefit. What we opted for was a building block approach where we could determine the asset allocation by investing directly into equity, property, fixed income and off-shore funds amongst others. The models would not be dependent on the asset allocations determined by the managers and therefore we would not need to adjust our weightings in those funds depending on the correlations between the different funds. One of the risks associated with using the different managers is ensuring that the funds do not merely mirror one another, as this limits the ability to adequately diversify and in doing so mitigate risk. Within the models they are created with a target asset allocation which is unique to each of the models, we are able to rebalance the models to ensure they stay in line with their prospective mandates.
Plutus Capital (Pty) Ltd is an authorised financial services provider, FSP number 47341