Discretionary fund manager True Potential attracted £1bn of investments in its multi-asset portfolios in 2016.
Since the launch of its first funds in March 2015 it has accumulated £3bn in its 27 funds and a further £2bn in 10 diversified multi-asset portfolio.
True Potential now have 27 funds sub-managed by UBS, Allianz Global Investors, Schroders, SEI, 7IM, Columbia Threadneedle and Close Brothers.
Mark Henderson, senior partner at True Potential, attributed the growth to good returns, continued investor confidence and as a desire for diversification to manage any future volatility.
“Our continued growth puts us in a great position as we constantly seek opportunities to generate returns and value for money for our clients,” he said.
The firm sells its funds direct to individuals, through the use of IFAs and to employers
Alan Dick, a partner at Glasgow based IFA Forty Two Wealth Management, questioned the worth of clients investing through discretionary fund management.
"I have not seen any evidence of any form of active management adding value in the long run and discretionary fund management is just a more obscure and opaque way of getting access to set of skills I do not believe exist," he said.
Mr Dick favoured the use of passive building blocks for a diversified portfolio of investments.
"You miss out on the opportunity to shoot the lights out but you also remove the risk of the absolute dogs," he said. "Your probability of a reasonable outcome is significantly higher."
david.rowley@ft.com
