3 June 2026
Concentration that statements do not show
Two holdings in different sectors can still lean on the same rate story. We look for thematic overlap that line-item lists miss.
A portfolio can look diversified on a sector pie and still behave like one bet when markets turn. In drawdown work we spend as much time on why names move together as on how many names appear on the statement.
Shared drivers
Examples we see often in UK private books:
- Several “different” equity funds with heavy exposure to the same mega-cap technology names through slightly different wrappers
- Property, infrastructure, and certain equity income lines that all lean on falling real yields
- Private credit and high-yield sleeves that price calm until refinancing windows tighten together
None of these is automatically wrong. They become a problem when the owner believes the pie chart has already handled correlation.
What we put on the page
In a review we list the overlapping themes in ordinary language, then show how those clusters behaved in prior drawdowns for this book. The aim is a conversation you can have with your adviser — not a proprietary score you cannot interrogate.
A practical habit
Before adding a new fund, ask which existing holdings would likely fall on the same week for the same reason. If the answer is “most of the growth sleeve,” size accordingly. Our pre-allocation risk assessment exists for decisions where that question carries real money.