Skandia believes high quality portfolio management delivers significant value and that a range of solutions are essential to meet different investors’ needs. Skandia’s WealthSelect proposition offers financial advisers the most comprehensive range of portfolio management solutions in the market. These currently include the existing multi-asset solutions Spectrum and Generation, which are risk and income targeted respectively.
Building on this, WealthSelect will also offer financial advisers a new fully researched range of high quality funds and a discretionary managed portfolio service, all at a leading price. The average AMC of the funds within the WealthSelect proposition is 0.52%, and there is no additional charge for the managed portfolio service. This will enable financial advisers to offer a range of portfolio management solutions to their clients at very attractive prices.
New researched range of high quality funds
The new researched fund range will comprise 42 single strategy funds that are run by Old Mutual Global Investors, also part of Old Mutual Wealth. Over half of these funds will be sub-advised by many of the UK’s best known investment houses – Aberdeen, Artemis, Blackrock, Fidelity, Henderson, Invesco Perpetual, JP Morgan, Newton, Schroders and Threadneedle.
The range will also include a selection of passive funds which can be used to keep overall portfolio costs down if required. See appendix 1 for the full list of all 55 funds that comprise WealthSelect.
New Discretionary managed portfolio service
The managed portfolio service will enable advisers to offer their clients a discretionary investment service without their clients incurring the additional costs of a discretionary fund manager.
The managed portfolios will be aligned to client risk levels 3 to 10 on Skandia’s platform risk profiling scale (10 being highest risk), in order to meet a wide range of client profiles. The portfolios will be available through all products on the platform – ISA, pension, bond and unwrapped collectives and will be optimised to the products as appropriate.
The managed portfolio service will enable financial advisers to produce co-branded, client specific portfolio reports on a quarterly basis. These reports will show portfolio performance – both cumulative and discrete – volatility, asset allocation, sector breakdown, country breakdown and detailed information about each fund in the portfolio.
The managed portfolio service is optional and advisers can choose to manage their own portfolios using the WealthSelect researched fund range if they prefer.
Paul Feeney, chief executive of Old Mutual Wealth, comments:
“Our aim is to continually increase the value we offer to financial advisers and their clients who use our platform as we grow into a fully integrated investment business. The retail distribution review has increased adviser demand for high quality; high value portfolio management services and we are leading the response. Through WealthSelect we give advisers access to the best brands in the market, with easy to use regular reporting and strong performance through active portfolio management. All at a market-leading price. We believe it will enable advisers to offer a compelling investment solution to suit a wide range of their clients’ needs.”
Appendix 1 - WealthSelect fund list:
Notes to editors
The WealthSelect solutions will be branded Skandia until the Skandia brand is replaced with Old Mutual Wealth towards the end of 2014. The new proposition will launch towards the end of February and the individual fund prices and structure of the managed portfolios will be available then.