Platforms  

Model portfolio dash sees FE Invest added to three platforms

Model portfolio dash sees FE Invest added to three platforms

Aviva, Novia and Transact have all added the FE Invest portfolios to their platforms, in response to mounting demand from financial advisers for off the shelf investment models.

The move means the portfolio range will now be held on four wraps, including Standard Life, which was previously the only platform offering advisers access to the proposition.

Rob Gleeson, head of FE research, said advisers are increasingly seeing the benefit of outsourcing fund selection and governance, which gives advisers a chance to focus on spending time with clients.

He said third-party support gives advisers a chance to better understand the unique financial needs of their client.

“With the constant chatter of robo advice and the threat of a sweeping takeover from technology, this will be the key to client retention and also attracting new ones,” he said.

Pippa Russell, head of corporate communications at Novia, said there has been a huge rise in the use of models on the Novia platform, which has approximately 5,000 registered individuals.

The move means thousands more advisers will be able to access the model portfolio range, which is targeted at a range of investor risk profiles and allows advisers to analyse holdings data and make changes instantly.

According to Mr Gleeson, the FE Invest Approved List has also seen a strong rise in usage among the adviser community.

Since the list launched, FE has added ethical funds and physical property funds as it looks to meet the needs of advisers who have clients with more niche requirements.

Marvin Evans, principal of Old Bank Wealth Management, said Mr Gleeson is “absolutely right” by saying IFAs cannot replicate this type of service cost effectively, meaning many use model portfolios as the basis of a proactive investment management service.

“It is a shame the FE Invest portfolios are not available on more platforms. They seem to have an ethical portfolio range which is not common amongst other model portfolio providers.”

katherine.denham@ft.com