Independent investment management requires distinctive principles that differentiate effective wealth offices from traditional providers, as exemplified by Toby Watson’s work at Rampart Capital in serving discerning clients.
Independent investment offices face the challenge of distinguishing themselves in a crowded wealth management landscape. Claiming independence means little without genuine commitment to principles that prioritise client interests. Wealthy families seek advisers who combine sophisticated investment capabilities with transparent communication, aligned incentives, and flexibility. Rampart Capital, a London-based independent multi-family office, operates according to principles that reflect these priorities. Toby Watson, who joined as a partner in February 2020 after 17 years at Goldman Sachs, contributes to maintaining these principles through his experience in global markets and structured finance.
Since joining Rampart Capital LLP as a partner in February 2020, Toby Watson has contributed to developing and maintaining the principles that guide the firm’s independent investment management approach. His background from Goldman Sachs International, where he worked for 17 years in structured credit trading and infrastructure financing, provides perspective on how institutional investment capabilities can be applied within client-focused independent platforms. Rampart Capital operates as an independent investment office owned by key personnel, enabling decision-making focused entirely on client outcomes. His role involves helping ensure these principles translate into practical investment strategies that serve wealthy families seeking sophisticated management aligned with their interests.
Defining Principles in Independent Investment Management
Principles matter most when tested by difficult circumstances. Many wealth management firms articulate attractive principles during favourable markets, yet genuine commitment shows during volatility or when easy profits tempt compromise. Understanding the key principles at Rampart Capital reveals how Toby Watson’s experience contributes to maintaining disciplined, client-focused investment management.
1. Macro-Driven Investment Philosophy as Foundation
Effective investment management begins with understanding the economic environment. Rampart Capital’s macro-driven approach means comprehensive analysis of economic cycles, policy developments, and market dynamics forms the foundation for investment decisions. This methodology requires synthesising diverse information to form independent views. Experience from Toby Watson’s time at Goldman Sachs across multiple markets informs this analytical approach, helping identify opportunities and risks that purely bottom-up analysis might miss.
Forming Independent Views
Macro analysis enables positioning portfolios appropriately for prevailing conditions rather than maintaining static allocations. This adaptability proves essential for protecting and growing client wealth across economic cycles.
2. Factor Analysis Over Traditional Asset Classes
Modern portfolio construction benefits from thinking in terms of investment factors rather than traditional asset class boundaries. This principle enables more sophisticated understanding of portfolio exposures and risks. Toby Watson’s background in structured finance informs this factor-based approach, recognising that assets from different traditional categories may exhibit similar factor exposures. Factor analysis enables more precise portfolio construction and risk management.
3. Toby Watson and Absolute Return Focus
Independent investment management serves clients seeking consistent returns rather than simply matching benchmarks. This principle requires different thinking from traditional relative return approaches. The focus on absolute returns means careful risk management, diversification across uncorrelated strategies, and willingness to hold cash when opportunities appear limited. Experience from working at Goldman Sachs in various market environments informs understanding of how to construct portfolios that can perform across different conditions.
Diversification Across Uncorrelated Assets
Achieving consistent absolute returns requires building portfolios from investments that don’t move in lockstep. The firm constructs portfolios by:
- Identifying opportunities across diverse strategies and markets
- Assessing correlation patterns under different conditions
- Maintaining appropriate diversification without diluting returns
- Regularly reviewing and adjusting as relationships evolve
4. Risk Management as Embedded Discipline
Effective risk management means more than monitoring portfolios after construction. This principle requires embedding risk considerations throughout the investment process, from initial analysis through portfolio construction to ongoing monitoring. Toby Watson’s contribution includes helping establish frameworks that identify risks systematically whilst enabling appropriate opportunity pursuit. Risk management protects client capital without creating excessive caution that constrains growth.
Downside Focus in Portfolio Construction
Understanding potential downside proves as important as assessing upside potential. Portfolio construction considers how investments might perform during stress scenarios, not just base case expectations.
5. Client Alignment Through Ownership Structure
Perhaps the most fundamental principle involves genuine alignment with client interests. Rampart Capital’s ownership by key personnel ensures that those making investment decisions have personal interests aligned with client outcomes. This structure eliminates conflicts that can arise when compensation depends on gathering assets or selling particular products. Toby Watson’s move to this independent platform reflected attraction to environments where client interests drive decisions without competing institutional priorities.
Transparency in Communication
Alignment means clear communication about strategies, risks, fees, and performance. Clients deserve understanding of how their portfolios are managed and why particular decisions are made.
The principles driving independent investment management at Rampart Capital demonstrate how experienced professionals translate institutional capabilities into client-focused wealth management. Toby Watson’s role in maintaining these principles shows that effective independent management requires not just technical expertise but unwavering commitment to putting client interests first.
