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London & Capital Rolls Out New Suite Of Model Portfolios

Tom Burroughes

3 October 2014

, the wealth management firm, has launched a suite of new global model portfolios which it says will offer advisors more investment choice, management of risk and increasing transparency on fees and underlying investments.

The portfolios are aimed at financial advisors with clients looking to invest for the longer term and who seek wealth preservation at a time of increasing market uncertainty. The portfolios will sit alongside the existing ten managed portfolios introduced to market in 2010 and are designed to cater for a range of risk and return appetites.

However, compared to the ten existing managed portfolios, the new ones offer greater controls. The underlying funds are managed by the London & Capital investment desk giving greater control over stock selection, daily visibility of underlying risk exposures as well as the ability to use derivatives to manage risk and volatility in the funds, providing greater peace of mind for intermediaries.

The model portfolios have five distinct risk and return objectives, formally risk-mapped by Distribution Technology and given a 5-star rating by Defaqto. The five new portfolios use a mixture of the following underlying funds: L&C Global Star Equity Fund, L&C Global Defensive Equity Fund, L&C Global Conservative Fixed Income Fund, L&C Global Balanced Fixed Income Fund and the L&C Global Growth Fixed Income Fund.

Initially the five new Model Portfolios will be made available on Novia, Transact, True Potential and 7IM platforms.  London & Capital do not charge a Discretionary Management fee to manage the models. The expected total fee of 1.29 per cent is inclusive of VAT and consists of the underlying fund charge at 1.0 per cent and administration expenses at around 0.29 per cent.