Meticulous, comprehensive research and analysis form the basis of all of our investment decisions. SARP team performs quantitative and qualitative modeling of the risks and returns of investment positions. We also continuously monitor and evaluate worldwide and industry events that could have an impact on our investments.
Our professionals synthesize research data from a variety of sources to develop a comprehensive view of the investment environment and a detailed understanding of the risks and rewards, and proactively respond to any critical changes through portfolio adjustments.
Risk control and assessment are our top prerogative in investment decision-making, and all investment positions must comply with SARP's risk management guidelines specific to each individual portfolio or investment program.
We monitor and strive to mitigate two types of risk: systematic risk, pertaining to environmental factors including geopolitics, market trends, industry developments, and asset class movements; and idiosyncratic risk, which is specific to the individual investment target, such as value deterioration, management risks, transaction and operational risks, counter-party risks, and enforcement risks. We mitigate these investment risks through extensive due diligence, diversification, multiple forms of hedging and quantitative risk overlays.
Technology plays a crucial role in today’s investment management, and we employ industry-leading information systems and analytical platforms to support our investment decision-making and operations. These systems and platforms, whether custom-developed or externally sourced, assist us in investment analysis, portfolio construction, risk management, trade execution, reporting, and day-to-day fund management operations.
Successful investment management relies heavily on streamlined operations and execution. SARP employs seasoned internal operations and back-office staff focused on our investment programs and portfolios, supported by service provider partners specializing in specific asset classes. We also work with top quality partners who assist us in legal, auditing, corporate administration, trade execution, and financing, to ensure the efficiency and continuity of our investment operations.