Model Portfolios 

PortfolioMetrix launches model portfolio range

PortfolioMetrix launches model portfolio range

PortfolioMetrix has launched a new range of model portfolios.

The PortfolioMetrix Model Portfolio Service (MPS) includes seven risk-rated portfolios.

Further portfolios are being finalised, offering alternative styles including Income, Absolute Return, Ethical and Smart Beta.

These will be made available across a wide range of platforms during 2019 to 2020 where adviser demand requires.

Mike Roberts, UK managing director and head of innovation of PortfolioMetrix, said: "Advisers want to have confidence that the investment portfolios they recommend to clients meet the risk appetite of each individual client and, when scrutinised, it is clear that some model portfolios fail to match this expectation.

"Our strength in this area sets us apart from the majority of the market who are failing their clients and has led us to launch an MPS that will truly help advisers and their clients."

The PortfolioMetrix MPS range reflects the firm's strong focus on risk management, with an emphasis on keeping the portfolios as closely aligned to their risk ratings as possible.

Martin Bamford, chartered financial planner for Surrey-based Informed Choice, said: "For advisers who don't have the in-house resources or expertise to manage portfolios, this type of solution could appeal.

"Maintaining the risk levels of various models requires regular monitoring and, when necessary, rebalancing back to the original position.

"Investment managers with a discretionary management have an advantage in terms of being able to swiftly rebalance portfolios, although this can result in less client engagement and understanding than the advisory approach.

"This service will no doubt come with a cost, which will need to be considered alongside the value obtained from the ongoing risk management."

PortfolioMetrix launched in 2013 with a range of flexible risk-rated portfolios that allow financial advisers and planners to customise the portfolios to meet specific client requirements.

aamina.zafar@ft.com