You cannot control what markets do next. But you can choose an investment approach that considers what could go wrong, as well as what could go right.
Ruffer Investment Company – stock market ticker RICA – is a global, multi-asset investment trust with a simple aim: to protect and grow shareholders’ money over the long term. It follows an investment philosophy unchanged since Ruffer was founded in 1994: protect capital first, then look for opportunities to grow it.
We believe protecting capital and pursuing growth are complementary ambitions, not competing ones. Large losses leave investors with ground to recover before their wealth can grow again. Our approach seeks to avoid those setbacks, allowing more time for compounding.
To achieve this, we combine investments intended to protect against market falls with others chosen to capture growth opportunities. Our toolkit extends beyond shares and bonds to include currencies, cash, commodities and derivatives. These give us different ways to respond to the risks and opportunities we identify, which means our portfolio can move in different ways to the broader market.
Rather than relying on one forecast being right, we consider a range of possible futures. We always maintain a balance of growth and protective investments, adjusting that balance as our assessment changes. The aim is to prepare for uncertainty, rather than predict exactly what will happen next.
While this investment philosophy has not changed for more than 30 years, our portfolio is constantly evolving. We look for shifts in the economic and market landscape and build a portfolio ready for what we believe will come next in markets.
This approach has been tested in difficult conditions. Since launch in 2004, Ruffer Investment Company has preserved shareholder capital during the global financial crisis, the covid-19 pandemic and the 2022 interest rate shock. These were different crises, but each demonstrated the importance of preparing for markets to behave unexpectedly.
You may already own investments designed to benefit when stock markets rise. Ruffer Investment Company offers a different emphasis: pursuing long-term returns while placing protection at the heart of investment decisions. This means it can provide a valuable source of diversification for a portfolio.
There are trade-offs. Protective investments like derivates can cost money when markets are calm, and a cautious approach can mean we lag when markets are rising. But during times of market stress, our approach has proven its worth, even during some periods when stocks and bonds have fallen together.
Ruffer Investment Company is managed by Alexander Chartres, Ian Rees and Jasmine Yeo. Alexander recently outlined our approach to capital preservation and asset allocation, as well as the risks and opportunities we see in markets today, in a long-form podcast with Plain English Finance, which you can watch below.
Learn more about Ruffer Investment Company’s investment approach, performance and latest portfolio positioning, and explore a range of podcasts, video interviews and articles from the Ruffer team.
Past performance is not a guide to future performance. The value of the shares and the income from them can go down as well as up and you may not get back the full amount originally invested. The value of overseas investments will be influenced by the rate of exchange. The views expressed in this financial promotion are not intended as an offer or solicitation for the purchase or sale of any investment or financial instrument. The information contained on this page is fact based and does not constitute investment advice, research or a personal recommendation, and should not be used as the basis for any investment decision. The views reflect the views of RAIFM at the date of this document and, whilst the opinions stated are honestly held, they are not guarantees and should not be relied upon and may be subject to change without notice.
Ruffer AIFM Limited is a limited company, authorised and regulated by the Financial Conduct Authority, registered in England and Wales with registration number 8813919. Ruffer AIFM is a wholly owned subsidiary of Ruffer LLP. The firm’s registered office is 80 Victoria Street, London SW1E 5JL.