Vanguard has introduced a five-part online training course for advisers seeking to learn the basics of asset allocation.
The new module is available on Vanguard’s learning website and covers the different types of asset classes, types of return and the key elements of risk.
It also provides a deep dive into equities and bonds, discusses the advantages of a diversified portfolio focused on long-term goals and outlines the importance of regularly rebalancing in line with these goals.
Financial advisers taking the module will have access to a variety of resources, including video tutorials, topical guides and multiple-choice tests to help deepen knowledge on asset allocation. On completing the module, they will earn credits towards CPD accreditation.
Neil Cowell, head of UK retail sales for Vanguard, explained that while asset allocation may appear simple, according to a number of academic studies, 80 per cent of investment returns comes from making the big decisions between equities, bonds and cash.
“This is particularly important when considering today’s volatile financial markets. While investors may be tempted to make shifts in their portfolios, often taking no action is an active decision, and often it is the right decision for reaching long-term financial goals.”
The firm will also run workshops for advisers wanting to deepen their knowledge further on topics such as ‘home bias’, bonds in a rising rate environment and what to consider when using active and passive funds.
peter.walker@ft.com
