New DFM solution


MON, 09 FEB 2015

You told us you valued the convenience and cost effectiveness of outsourcing to a discretionary fund manager (DFM), but you also want to keep a close relationship between you and your clients.

So we’ve been working on a solution that enables you to retain client control whilst maintaining the benefits of outsourcing. And we think we’ve cracked it: the discretionary manager controls the model on our platform and you choose which risk rated discretionary model best suits your individual client’s needs and allocate money to it. And the range of funds in each model will be rebalanced at regular and ad-hoc intervals.

In terms of costs, we won’t be applying additional charges for advisers and clients to access and trade in these model portfolios. However, there will be underlying fund charges and in the majority of cases the DFM will apply an additional DFM charge for their services – this is likely to be between 0.20% and 0.35% per annum, depending on the DFM selected. Please note our annual Investment Centre, which starts at 0.18% for portfolios of £195k and above, will apply as normal.
Having the model managed by the discretionary fund manager but the money kept on the platform should help make client relationships a little easier to manage. And getting this for typical cost of 0.18% platform fee + 0.20% DFM fee makes it a proposition hard to ignore…

We’re not quite ready to unveil the panel yet however it’s nearing completion so won’t be long now.