loader image
Select Page

The NorthStar Investment Philosophy

Our unique investment approach is proven to deliver results. We blend precisely the right assets to provide a optimised strategy for every NorthStar client.

The NorthStar Investment Philosophy

We believe that your money should work hard for you and that a long-term investment strategy is essential for success. For many people, investing money is fraught with complexity with so many options to choose from, it can be hard to get it just right and have confidence that your goals will be met.

Investing for the future is subject to many uncertainties. We don’t pretend to be able to predict the future or invest you in ‘the next big thing’; what we do offer is years of investment experience, a tried and tested investment process and a system of continually monitoring to ensure your investments have the best chance of achieving your goals.

We won’t baffle you with technical investment jargon to dress up our investment process or to scare you into using a professional investment manager – we tell it as it is and set out clear investment principles and our investment methodology.

Our investment process aims to give each of our clients a successful investment experience. Rather than using speculative practices, we adopt a methodical investment strategy that is cost-effective, academically proven and fully transparent.

We believe there are eight key things to ensure long-term investment success:

Define Goals

Investing without a goal is a bit like a journey without a destination. Setting clear investment goals is one of the most fundamental parts of successful investing and something that many investors fail to do. A clear goal will help determine the investment horizon (how long you have to invest), how much you may need to contribute to your investment and help with the assessment of how much risk you need to take to ensure your goals are met. We work with you to set clear investment goals and continually monitor and review your investments to ensure your goals are met.

Keep it Personal

Your investments should perfectly match your goals, your tax position, your beliefs, and your risk profile. This is why we provide each NorthStar client with a personal, bespoke investment strategy. Each strategy is dynamic and is designed to evolve as you progress through life and as your goals and aspirations change. Ultimately though, it’s really all about you – not your investments. Your investments are just a means to an end. We really get to know you to provide an investment strategy that will allow you to do the things you want to do – to live the life you really want.


We like to make sure you can always see the bigger picture. Our Client Portal ensures you can see your total investment position in one place. This allows you to make sense of your financial affairs and allows us to create a bespoke investment strategy that optimises your position. Where necessary, we can move your existing high-charging, complicated or under-performing investments to simpler, leaner contracts to ensure they have the best chance of performing well. We can simplify your investments to create a single, unified strategy that is simple to understand, easy to monitor and is well-placed to deliver your investment goals.


Study after study has shown the benefits of a diversified investment strategy. The old adage of not putting “all your eggs in one basket” really is true. Sure, by diversifying, you won’t ever get the returns that can come from an “all on red” risky investment tip, but you will get a strategy that you can depend on. Not only does a broadly diversified strategy mean you get more certainty in your investment returns, it can also provide a much better trade-off between risks and reward. Higher risk investments can be carefully blended to produce a portfolio that provides a lower aggregate risk than any of its constituent parts but that can still deliver strong long-term returns.

Cut Costs

Many people don’t realise how much they are paying for their investments and what a large disparity between high-cost and low-cost funds can mean for the long-term growth prospects of their money. We predominantly use low-cost investments, with clear, simple charging structures to ensure you always know how much you are paying. Our strategies have been shown to reduce the drag on performance suffered by many traditional investments meaning you can benefit from higher returns. Low-cost should not be confused with low-quality, with many of the funds we recommend being some of the best available.

Reduce Tax

Tax-efficient investing can really boost the overall returns from investments and should always be carefully considered. In the UK, there are many tax-advantaged investment ‘wrappers’ with the most popular being Individual Savings Accounts (ISAs) and pensions. Investments placed into these types of wrappers can significantly outperform versus standard investment options. Our comprehensive investment review includes a detailed analysis of the most tax-efficient investment strategies for you to ensure you make the most of every tax advantage available.

Be Disciplined

Discipline is essential for successful investing. It is sometimes easy to take short-term decisions to get short-term wins but this may detract from your long-term aims. We use a structured approach to investing, ensuring we stick to our principles and always plan for the long-term. Through a combination of technology and expert oversight, we actively monitor your investment portfolio. We regularly recommend portfolios are ‘rebalanced’ to stop excess positions building up and to keep all investments in-line with their original strategy.

Think Long-Term

Investment should always be seen as a long-term strategy. During the period of any investment, there are likely to be periods of underperformance, there will be financial shocks and there will be major global events that will all impact an investment strategy. Our expertise and experience is valuable to help you see through these short-term fluctuations and focus on the bigger picture. We help you understand not just what has happened, but why it has happened and continually assess the strategy employed to ensure it remains optimal over the long-term.

For more in-depth information about our investment management process, please head to the Document Library and take a look at the latest ‘Investment Management Process’ document.

Expertly crafted portfolios

We created a range of investment portfolios exclusively for NorthStar clients. Our investment experts carefully blend the very best funds to ensure our portfolios deliver great returns. Every portfolio is then perfectly balanced using a broad mix of assets to control investment risk.

What Drives Long-term Investment Performance?

When it comes to investing, studies have shown that the biggest factor in determining long-term performance is ‘Asset Allocation’. This is the make up of a portfolio – the mix of equities, bonds, property, cash and other investment types.

Many people think that successful investing is about trying to find the best stocks (stock selection) or trying to time the markets (buying low and selling high) but these strategies rarely work. Academic research studies have proved this time and again.

The message is clear – get your asset allocation right and you will invariably have a great investment strategy.


Asset Allocation


Stock Selection


Market Timing


Other Factors

Gary P. Brinson, Brian D. Singer and Gilbert L. Beebower, Determinants of Portfolio Performance , Financial Analysts Journal, May/June 1986. Percentages rounded from actual stated figures of asset allocation 93.6%, stock selection 2.5%, market timing 1.7%, other factors 2.2%.

Carry all your financial documents in your pocket

Not only does our award-winning software allow you to see your complete position anywhere and at any time – it also gives you instant access to all your financial documents in a single, secure place.

Evidence-based investing

Our investment philosophy is based on many years of empirical evidence and Nobel Prize winning research. We have developed a disciplined, risk-focussed process, taking the guess work out of investing by using the very best scientific minds to help shape our investment strategy. Underpinning the NorthStar investment process is ‘Modern Portfolio Theory‘ and the ‘Capital Asset Pricing Model‘ . These award-winning theories help us provide optimized, high-quality portfolios that deliver our clients’ investment objectives.

Check Out Our Latest Special Offers

Find out more about our latest special offers. Each offer is strictly for a limited time only, so grab a deal today and take advantage of heavily discounted and free services.

Awards, Accreditations & Trade Associations

NorthStar is proud to be members of the leading financial planning trade associations. Through a continued commitment to work to the highest professional standards and deliver real value to all clients, our work has been recognised with a number of awards and professional accreditations.

Unbiased badge

We offset our carbon footprint via Ecologi

Unbiased badge

We offset our carbon footprint via Ecologi

premade image 20new2

Join Over 3,000 Happy Subscribers

Stay right up-to-date with the latest financial news, get expert insight and analysis and exclusive special offers to help you make the most of your money. NorthStar Insights is the free email newsletter enjoyed by over 3,000 people across the UK. Join them to see what all the fuss is about. 


(Great content every week. No spam. Guaranteed.)

Data Protection Policy

Thanks for subscribing to NorthStar Insights. Check your email to confirm your subscription.