Advisers have been lured towards multi-asset portfolios for several reasons.
According to advisers, multi-asset funds have the virtues of diversification in terms of assets and geography, the benefit of having a manager make asset allocation decisions and risk mitigation.
This might explain why fund platforms such as FundsNetwork have seen significant demand for mixed-asset funds over recent months, and why the Investment Association has charted strong inflows into the mixed investment sectors.
But what makes for a good multi-asset portfolio? How does one manage the expectations of the client against the will of the manager of the portfolio?
How can advisers keep tabs on style drift or an incremental uplift in the risk of the fund?
Moreover, some have asked whether providers could create lower-cost multi-asset portfolios to make it more cost effective for the end investor.
This report aims to highlight some of the pros and cons of using multi-asset portfolios.
It qualifies for 30 minutes' worth of structured CPD.