SEPIO Capital stands out as a multi-family office and institutional asset manager thanks to its strong, role-based investment strategy. They classify assets into four categories: growth drivers, diversifiers (which offer equity-like returns with low correlation to stocks and bonds), inflation-sensitive, and deflation-sensitive assets. Their investment approach emphasizes value while taking into account liquidity constraints and risk profiles, allowing for active portfolio management that adapts to changing market conditions. SEPIO is particularly optimistic about diversifiers such as distressed credit and managed futures, seeing them as essential for enhancing portfolio diversity and managing risk, especially when traditional asset correlations falter. Additionally, they stress the importance of thorough due diligence in selecting general partners, paying close attention to partnership dynamics, fund size, and the need to avoid concentration of returns.
