
Claire Smith
In a new white paper Schroders challenges conventional thinking about risk in private equity, urging financial advisers to reconsider how they define and pursue investment safety.
While many investors gravitate toward low-risk, low-volatility strategies, particularly in today’s unpredictable market environment, Schroders argues that this mindset may inadvertently limit long-term returns.
In today’s complex and uncertain investment landscape, it’s tempting to chase safety in low risk and low volatility for investors. But history and data show that avoiding risk does not always lead to better returns. In fact, the opposite can be true.
Schroder’s believe the most compelling opportunities lie not in the well-trodden paths of large-cap investing, but in the overlooked and undercapitalised small and mid-cap private equity market. This segment offers outsized potential for value creation when approached with discipline, expertise, and a rigorous selection process.
For investors seeking long-term value over short-term comfort, fortune truly favours the small, and the brave.
Read the whitepaper by Vahit Alili Senior Investment Director and Claire Smith Head of Business Development Australia, Private Markets.