Dynamic Planner has extended its client reporting tool in a bid to help advisers address all aspects of Mifid II regulation.
Rules that came into force in 2018 require that the client is informed of rebalancing and fund switches prior to a transaction, and advisers will now be able to document this for clients in Dynamic Planner.
According to the risk profiling business, while 70 per cent of platforms provide auto-rebalancing, advisers cannot rely solely upon this functionality to meet their responsibilities set out by Mifid II.
Dynamic Planner’s recommendation report allows advisers to meet Mifid II regulation by pinpointing the impact of any portfolio changes in relation to risk and return.
By using the report, advisers can report all advised portfolio recommendations to their client, prior to the transaction being made, “efficiently, compliantly and professionally”, the firm said.
The reports are prepopulated from work completed in Dynamic Planner and created at the “touch of a button”.
Chris Jones, proposition director at Dynamic Planner, said: “Multi-asset investors are all facing rebalancing responsibilities, and many are facing tactical and active management decisions.
“How those decisions are made and how and when the instruments are bought or sold is quite different depending on the type of solution.”
Mr Jones said it was more important than ever for advisers to “know their tools” and use the right tool for the job — in Prod language, having “having sufficient, adequate and reliable information on solutions to ensure that they are compatible with characteristics, objectives and needs of the target market”.
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