Rico Ernst, Chief Executive Officer, Aurora Capital SA
Investing should not feel like an emotional rollercoaster. But for most investors, it does. Markets rise, and excitement builds. Markets fall, and panic sets in. This cycle of greed and fear often leads to poor financial decisions such as buying high when confidence is strong and selling low when panic sets in.
At Aurora Capital SA, we take a different approach. We believe that investing should be about long-term certainty, not short-term market swings. That is why our investment philosophy is built around Low Volatility, High Predictability (LVHP). This approach allows investors to grow their wealth without the stress of constant ups and downs.
Most investors do not think of themselves as emotional. But the reality is, emotion influences financial decisions more than logic does. Consider this:
When markets are rising, many investors assume they will keep rising forever. They hold on too long, convinced they are riding an endless wave.
When markets start dipping, they convince themselves that it is just a small correction, until it is not.
By the time losses start feeling “real,” panic takes over. Investors sell at the worst possible moment, turning temporary dips into permanent losses.
This emotional cycle repeats over and over again, and it is the reason why so many people fail to achieve their financial goals. The problem is not the market itself. Rather, it is how investors react to it.
Aurora Capital SA solves this problem by removing unnecessary volatility from the equation. Instead of chasing the next big hype, we focus on creating an investment journey that is smooth, consistent, and built for long-term success.
Predictability is power
Aurora Capital SA’s LVHP philosophy ensures that investors do not have to worry about the wild swings of the market. Instead of chasing unrealistic returns, we focus on consistency.
Our investments are designed to deliver a steady return range—typically between 11% and 14% per year. While this may not sound as exciting as chasing the next big market trend, it provides something far more valuable: certainty.
With a predictable return, investors can:
Plan their income and spending with confidence
Avoid stress and emotional decision-making
Know that their money is working for them—without the fear of sudden losses
This approach is particularly valuable for those in the withdrawal phase of investing, such as retirees or individuals relying on their investments for income. A steady, predictable return ensures financial stability without the need for constant market monitoring.
The role of alternative assets
One of the biggest advantages of Aurora Capital SA’s LVHP approach is the use of alternative assets. Traditional funds often rely on stocks and bonds, which are prone to extreme market swings.
At Aurora, we blend in alternative assets to provide a cushion against volatility. By carefully selecting private investments, fixed-interest assets, and liquid growth assets, we create a balanced portfolio that maintains stability—regardless of market conditions.
Alternative assets reduce risk by diversifying away from unpredictable market cycles. They provide a reliable income stream, ensuring consistent performance. They eliminate emotional decision-making, because there is no pressure to “time the market.”
In other words, our portfolios are designed to perform well in both good and bad times. So, our investors never have to panic.
The true cost of uncertainty
Many investment firms focus on maximising returns without considering the emotional toll of market swings. But at Aurora, we understand that certainty is just as important as returns. Think about this: What good is a 20% return if it keeps you awake at night, worrying about the next crash?
Would it not be better to have a stable, predictable investment that grows steadily over time—one that allows you to plan your future without stress? That is what LVHP investing is all about. Invest with confidence, not fear.
Aurora Capital SA (Pty) Ltd is an authorised financial services provider, FSP number: 54262
About Aurora Capital SA
Aurora Capital SA is a trusted partner in financial management, offering innovative investment solutions that help clients grow their wealth while managing risks. With a team of experienced fund managers, we specialise in providing flexible, low-volatility investment options that cater to the unique needs of each investor. Our diverse range of funds, including the Aurora Worldwide Flexible Fund and Aurora Enhanced Income Fund are designed to deliver consistent returns with minimal volatility.
As an approved Financial Services Provider (FSP), we offer a high level of financial expertise and personalised guidance, ensuring clients’ financial futures are secure. Whether you’re looking to build wealth or preserve your assets, Aurora Capital SA is committed to making your financial journey simpler and more predictable.
Together, we build your success.
