Strategy
Barclays Launches New Discretionary Portfolio Management Service With Ascentric
The wealth and investment management arm of Barclays has teamed up with the wrap platform Ascentric to launch a new discretionary portfolio management service for intermediaries – a move which has been made by numerous other firms in the UK in the run-up to the implementation of the regulator’s Retail Distribution Review programme of reforms.
The new service will comprise five actively-managed, risk-adjusted portfolios, each of which is diversified across nine asset classes, ranging from short maturity bonds to alternatives.
The example the firm gives is of a profile 3 “moderate risk” portfolio, over 30 per cent of which would be invested in developed market equities, with roughly 10 per cent in short maturity bonds, 10 per cent in government bonds and the remainder split across the other six asset classes.
While Ascentric is the first platform provider the Barclays portfolios will be available through, further partnerships will be announced in the coming months, Barclays said.
Fairbairn Private, GAM and Close Asset Management are just a few of the firms to have made moves in the discretionary portfolio management space in recent months. These outsourcing offerings are intended to help IFAs focus on spending more time with clients rather than on the investment management process.
“We know that intermediaries are seeking more than just traditional mutual funds for their clients…Discretionary management services can offer a more tailored offering and we think the notion that portfolios are constructed to meet a range of risk appetites depending on the client’s needs is a compelling story and paves the way for the future of wealth management,” said Bryan Parkinson, director at Barclays.
As reported by WealthBriefing at the end of last week, Barclays has moved to a single brand for the majority of its divisions, including its wealth management arm.
Under the changes, Barclays Corporate and Barclays Capital will be known as the corporate and investment banking division of Barclays, but Barclaycard and Absa are retaining their distinct brands as they are seen as having unique strengths in their respective markets.
