Investment Philosophy

Our clients have long-term objectives to plan, grow and protect wealth. Therefore our investment philosophy, and the strategies we implement, have been developed with a long-term view.

At the core of our investment philosophy is capital preservation. Before recommending any investment, the first question we ask ourselves is - what can go wrong? The potential return is not considered until we have a thorough understanding of the risks involved.

At Donegal Wealth, we have a conservative investment approach with a long-term focus, but recognize shorter-term tactical opportunities when they present themselves. This process is called Dynamic Asset Allocation.


Dynamic Asset Allocation is a portfolio management strategy that involves rebalancing a portfolio to bring the asset mix back to its long-term target on review.

Such rebalancing involves reducing positions in the best-performing asset classes, while adding to positions in under-performing assets.

In the lead up to the Global Financial Crisis, our Dynamic Asset Allocation investment process shifted the portfolios away from the overvalued equity and listed property markets and into cash and fixed interest. As the equity markets were oversold, we increased the exposure of the portfolio back into the market. By contrast, persisting with a static assets allocation would have ensured exposure to the expensive assets leading to capital loss.