A Hameed Khonji

Tell us about your role and your team.

I am an investment counsellor at Liechtensteinische Landesbank Middle East (LLB ME) and perform the following tasks:

• Work closely with the client advisers and their clients to ensure that they adhere to their risk profile and the according asset allocation.
• Originate and present investment ideas to relationship managers and their clients – investment idea can encompass any asset class, with no global restrictions, provided it does not breach any risk-related limits at the client portfolio level.
• Meet and identify funds or managers that could be added to LLB's third-party fund offering – cross-asset class.
• Actively oversee and advise LLB ME’s key clients.
• Act as a conduit between LLB Asset Management in Liechtenstein and LLB Middle East.
• Promote LLB’s discretionary portfolio management solutions to clients.
• Ensure the integrity of the sales process and compliance with all LLB and DIFC regulatory policies.
• Educate clients, prospective clients and RMs on the financial markets.

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How many fund houses do you work with and how many funds are on your product shelf? What new strategies have you selected this year?

We actively work with 75 fund houses, with 142 funds on our product shelf. This year we have added multi-asset funds, Indian equity funds, fixed-maturity bond portfolios and European private equity.

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What gaps are you looking to close in 2023? Are any of your products at risk of being removed? If so, in which area?

We are constantly looking to align the Bank's product offering more and more with what ME-based clients require to achieve their investment objectives. During this alignment process, the dynamism of our product shelf comes to the fore as funds get switched with replacements as well as making outright additions.

2023 will be a significant year as it will be the year during which the Bank's new ME offering will go live. The products that we will look to add outright do not feature on a generic wish list but will rather be a function of what makes sense at that particular point in the market cycle, the gap that needs to be filled in client asset allocations and what clients demand.

We will also be looking to launch so-called ‘one-off’ products such as fixed-maturity portfolios on a tactical basis as and when the window of opportunity presents itself.

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Which sectors have been most popular with your clients this year?

Energy and healthcare.

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Are Shariah-compliant funds meeting your expectations and what can asset managers do to meet the demand for Shariah-compliant products?

No, they are not meeting our expectations as the investment universe is very limited, in addition to the fact that there is too much Shariah-compliant money chasing too few investment solutions and securities. In turn, this leads to security pricing being skewed to the upside and remaining rather rich even when fundamentals point in the other direction, making risk/reward nonsensical.

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Sum up your investment philosophy in a few words.

Invest in a disciplined manner by using best-in-class solutions to create a portfolio that is diversified by sector and geography that can be rebalanced and survive the test of time by generating positive absolute returns over the long term.

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From your perspective, what are the most important traits in a manager?

Discipline, focus, the ability to manoeuvre through tough situations and come out on top, and mastering the ability to gather, filter and process information.

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What is your biggest concern in the current market situation?

Credit and liquidity risk suddenly expressing themselves in financial markets and the systemic snowball effect that could be unleashed accordingly.

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What is the most useful career tip you have received?

Know that you know nothing.

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Who are you supporting in the World Cup?

Germany, of course!