View more on these topics

London & Capital unveils 10 managed portfolios

Independent wealth manager London & Capital has launched 10-risk graded managed portfolios to cater for the full range of client risk profiles.

The multi-asset portfolios are available to advisers through the Novia platform. Each portfolio will blend funds investing in traditional assets such as bonds and equities with exchange traded funds and absolute return funds. The portfolios can also have direct holdings in assets.

London & Capital says it has used this investment strategy, which aims to preserve capital, for 18 years in its model portfolio. It thinks the managed portfolios will be useful to advisers who are looking outsource the management of client portfolios in a cost-effective way in preparation for the implementation of the Retail Distribution Review.

The portfolios are named 1 to 10 to reflect the risk categories that fit with the Novia platform. If advisers use their own risk profile models, London & Capital suggests using Novia’s comparison tool to ensure the portfolio matches the client’s risk profile.

Portfolio 1 invests mainly in cash funds and bond funds with no pure equity exposure. At the other end of the spectrum, portfolio 10 invests mainly in equities, with no exposure to cash funds and bond funds.

The firm will use exchange -traded funds selectively, not only because they are regarded as cheap. Specifically, ETFs will be used when London & Capital believes active managers will be unable to outperform the market, or where it is difficult to gain exposure to that market through an active manager.

When constructing the portfolios, a key factor in the investment team’s asset allocation is the top-down macro-economic outlook, which includes the team’s expectations for markets such as equities, bonds and currencies. This provides a framework in which to select funds or direct holdings within each asset class or market. Portfolios are rebalanced quarterly to ensure that the asset allocation stays in line with the original risk profile.

Discretionary fund management is becoming popular among advisers as an alternative to multi-manager funds. London & Capital’s portfolios increase choice in this area but their availability only through the Novia platform could prevent some advisers from using them.


Annuity income data

The Retirement Strategy data pages are designed to offer a wide ranging view of the current annuity rates being offered from providers including impaired, flexible and asset-backed annuity options. The pages also put current rates into historical context, offer the latest annuity best-buy tables and give a general overview of the type of products each […]

Cutter: ‘We remain vigilant’

Chesham deal for Skipton as profits rocket

Skipton Building Society is planning to merge with Chesham Building Society after posting a 189 per cent increase in group profits from £22m to £63.5m. Group mortgage assets increased last year by £1.3bn to £10.7bn, mainly as a result of the merger with Scarborough Building Society in March 2009. Money Marketing was first to reveal […]

How to use wills to protect your clients’ wishes

March was Free Wills Month! Free Wills Month brings together a group of well-respected charities to offer members of the public aged 55 and over the opportunity to have their simple wills written or updated free of charge by using participating solicitors in selected locations around England and Wales. Research by the Law Society* highlighted that only 64 […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm