Professional wealth management has become essential for navigating an increasingly complex economic and financial landscape. Dr Naveen Gunawardane, Managing Director and Co-founder of LYNEAR Wealth Management, views wealth management as critical for wealth accumulation and preservation and views the capital markets as a key enabler to this end. “Capital markets allow investors to diversify their portfolios, offering avenues for wealth preservation and growth even amidst economic uncertainty,” he explains.
LYNEAR Wealth Management has become a highly respected fund manager in Sri Lanka for over a decade, though it has operated outside the public spotlight. Its reputation for investment expertise and integrity has helped it become the largest private investment manager of listed equities in Sri Lanka.
Its recent foray into unit trusts marks a pivotal moment in its journey, improving accessibility to a broader market with funds that balance return, risk, and liquidity, offering tailored strategies for clients prioritizing growth, income, or capital preservation.
“Sri Lanka does not have private banking in the true sense of the word. What Sri Lankan banks offer as investment options even to their premier customers are plain vanilla deposits and treasury products. In other countries, customers of private banks have access to a wide array of investment products. LYNEAR’s Private Wealth Management offering was developed to cater to this market: to offer investment products and opportunities to the premier customers of banks. We use our Unit Trust products as the investment vehicles through which our Private Wealth Management offering is provided.”
Dr Gunawardane highlights how investment strategies vary significantly depending on the individual. A younger investor aiming for financial independence will have a different asset allocation strategy from an older client nearing retirement. Younger clients often need higher returns and can tolerate more risk. In contrast, older clients require more conservative solutions to preserve wealth and secure liquidity for immediate needs.
One common mistake made by investors is the tendency to over-allocate assets to short-term investments. “Many clients underestimate or fail to quantify their liquidity needs properly,” says Dr Gunawardane. This misstep can lead to missed opportunities for long-term growth.
“We believe large investors in the unit trust industry may have disproportionately invested in money market funds that prioritise liquidity over returns. At LYNEAR, we look to address this by providing advice on asset allocation and ensuring clients balance liquidity, risk, and return,” Dr Gunawardane notes.
By operating independently of brokerages and primary dealerships, LYNEAR avoids conflicts of interest and ensures its interest aligns with that of its clients. With over a decade of stability and combined experience, LYNEAR’s team has built trust through expertise and consistency in navigating volatile market cycles.
Dr Gunawardane advises potential clients to evaluate wealth managers based on five criteria: Trust, expertise and experience, investment style alignment, transparency & risk management, and consistent performance. The most fundamental factor is trust that the fund manager can and will always act with integrity. Further, a stable team with a long track record of managing investments under varying market conditions is also vital. The client should also be comfortable with the managers’ approach to investments and risks. Each fund manager can have a different investment style. Transparency in decision-making and regular communication about portfolio performance build confidence in the client-manager relationship. Effective risk management, characterized by disciplined asset allocation, ensures long-term growth without excessive exposure. Finally, past performance does not guarantee future returns. A track record of delivering consistent performance over the long run is indicative of a fund manager that has the correct investment processes.
LYNEAR has demonstrated its skill in navigating the complexities of the Sri Lankan capital market, focusing on value-driven strategies. Dr Gunawardane emphasizes that wealth management is about preserving and growing wealth to meet future needs. Its Private Wealth Management offering, encompassing diverse financial instruments, offers opportunities to clients to develop their own tailored solutions with varying degrees of risk, return and liquidity. The firm also works closely with clients to ensure investment allocations reflect their unique financial circumstances and goals.
As LYNEAR enters its second decade, its focus remains on providing independent, client-focused investment management services. Its combination of expertise, experience, and a high-touch service model positions LYNEAR as a compelling choice for investors. “Wealth management and investment advisory is all we do,” Dr Gunawardane remarks, underscoring a singular focus and dedication to its clients.
LYNEAR Wealth Management bridges the gap between traditional banking and sophisticated investment solutions that give investors clear strategies to preserve, grow, and transform their wealth in a complex and ever-changing market.