FinaMetrica to provide risk-profiling for Architas funds
Australian risk-profiling specialist strikes second major UK deal with Axa Wealth’s multi-asset arm.
Architas has signed a deal with FinaMetrica to risk-profile its funds according to the Australian technology provider’s own metrics.
The move means advisers using FinaMetrica’s 25-question risk-profiling tool can “map” their clients’ responses to assess which of the fund manager’s multi-asset portfolios are best suited to them.
Paul Resnik, co-founder of FinaMetrica, said: “We have argued for a long time that the industry needs to adopt a common standard in relation to three risk definitions before confidence in long term investing will return: the words that we use, the descriptors that we use and method we use to assess risk tolerance. Investor expectations can be managed better once there is a consensus.”
Architas head of business development Cedric Bucher said the firm was looking to “make our fund range available and accessible to as many IFAs as possible” through risk profiling arrangements as well as distribution deals through platforms.
The agreement with Architas is FinaMetrica’s second major deal since Mr Resnik visited the UK earlier this year with a view to establishing a permanent presence. In July FinaMetrica agreed with Margetts Fund Management to provide “risk descriptions” for its four risk-rated portfolios.