Portfolio Review Service
Bespoke advice on existing investment strategies, covering suitability and risk, performance and benchmarks, costs and charges, and MiFID II service standards
Our portfolio review service is a broad and independent evaluation of the investment strategy and performance of your client’s current discretionary investment manager after costs, and how this compares to the industry generally.
With MiFID II now having been in force for over a year, the enhanced transparency it provides on fund and transaction costs, regular client reporting, and disclosures of conflicts enables us to make meaningful comparisons to ensure DFM services offer value for money.
Below are some of the due diligence questions our service appraises.
- Are your client’s goals well defined?
- Does the portfolio materially match your client’s objectives and tolerance for risk?
- Does the solution meet your client’s needs?
- What Due Diligence has been undertaken and how is the portfolio monitored?
- Is there a structured process to ensure that your client remains within their articulated risk appetite, and any changes to their circumstances are met?
- How are dealing commissions, fund selections, and fees impacting on your clients’ returns?
- Does the Investment Manager offer a choice of tailored solutions?
- How regularly are you and your client getting updates on their portfolios?
- Does your DFM regularly communicate how the decisions taken meet client objectives?
- Has the overall performance of your client’s portfolio been negatively affected by the costs and charges of your DFM and investment products?
Download the Brochure
To learn more about our Portfolio Review Service, download the brochure now.
Benchmarking and Performance
We know that you want the best possible service for your clients, and that sometimes it can be difficult to effectively and accurately judge the performance, value for money, and governance your chosen Investment Manager is providing.
Our portfolio review service enables you to obtain a fully independent analysis of your client’s portfolio performance. This sort of analysis is essential to demonstrate good governance.
Adherence to Mandate
Providing reassurance that the investment manager acts within the parameters articulated in your mandate.
Analysis of the costs associated with your investment portfolio and impact on return compared with market rates.
Investment Risk Review
Assessment of the risk of your portfolio and confirmation that it is within the stated tolerance and appropriate for your client’s objectives.
Evaluating the performance of the portfolio against a variety of benchmarks and relative to market volatility experienced.
Policies and Organisation
High level review of your investment manager’s service offering. What do you get for your money? Is your investment manager MiFID II compliant?
Our preference for benchmarking the majority of portfolios is the objective-appropriate ARC index. The ARC Indices are a peer-to-peer comparator for discretionary investment managers, compiled using data from over 60 participating discretionary managers which include well respected City banks such as Credit Suisse and JP Morgan. These contributors supply information to reflect the investment performance of their typical discretionary clients. The performance figures are net of their fees. This data gives ARC the ability to create the Indices giving a unique insight in to the actual returns being generated by investment managers based on real performance numbers for their discretionary private client portfolios. There are no pre-set asset allocations; no asset class restrictions and no concentration limits. The portfolios are categorised into one of four categories dependent upon volatility, or the risk, of the constituent parts of the portfolio.
For our clients the ARC Private Client Indices (PCI) provide an objective means of placing investment performance into context and ARC PCI is a barometer for the state of the private client investment management industry.
Let’s Get Started!
Contact us today to arrange your Portfolio Review, and get bespoke advice on your clients’ investment strategies.
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