The PortfolioManager Funds will range from a defensive strategy, which contains only 10 per cent in equities, 5 per cent property and 85 per cent UK bonds, through cautious, balanced, adventurous and aggressive. The aggressive portfolio is 100 per cent invested in equities – 10 per cent UK, 70 per cent developed markets and 20 per cent emerging.
They launch today and will be run by Fidelity’s multi-manager team, led by Simon Ellis. All portfolios can be used with the full range of tax wrappers and FundsNetwork’s other tools.
Two share classes will be issued – one for commission payments and one for fee-paying clients, allowing IFAs to offer different segments of their client bank the same service through one vehicle.
Head of sales and marketing Rob Fisher says the split means advisers are effectively getting access to 10 funds and says it gives advisers total protection against whatever the outcome of the RDR may be.
Fisher says: “We hope this will give advisers the maximum flexibility, allowing them to just use one vehicle regardless of the segmentation of their client bank – whether they take commission or are paid by fees. All the portfolios are offered on the platform, and you get the full risk/reward, depending on the client’s attitude to risk.”