Model Portfolio Performance

Financial Planning

Financial Advice & Planning sets the direction of travel. Only when we have decided where we are going, can we steer towards that destination. But steering alone won’t get us to where we want to be; ever peddled a bicycle when the chain has fallen off?

Investment Management

Moving towards your destination requires some form of propulsion. Whether that is using our legs, using the wind, the internal combustion engine, the jet engine or a rocket, it’s the engine that moves us. The further you want to go, the more powerful the engine required. Imagine peddling across to Beijing on holiday?

Financial Planning + Investment Management = Wealth Management

Great Wealth Management needs a combination of the correct direction and the correct engine. Here’s how Our 4 Model Portfolios have grown over the last 5 years, shown against something recognisable like the FTSE 100. Just below is the detailed analysis we must provide due to our regulatory requirements. Please click on your model portfolio to see the whole report. It shows we have done extremely well against our peer group.

Chart Notes
Our AIM Portfolio commenced only 3 years ago.
FTSE 100 is the index we hear about each day.
FTSE TR is the Total return index which includes all dividends reinvested. You can see that dividends make a big difference to returns over time.
Neither indices can be invested into directly without charges. Our returns are shown after charges.

Marking your own homework

It was always a let-off at school when the teacher said you could mark your own work. I always did better, I’m sure you did. But in this grown up world of financial regulation, that just isn’t allowed. Results must be independently arrived upon. Here’s how we do it.

We use the reports of Asset Risk Consultants, along with their Private Client Indices to see how we perform relative to our peer group. If you have seen me create a Nucleus Narrate report for you in the office, these benchmarks are the same as those on your report. This is how ARC describe their reports.

This Portfolio Peer Review (PPR) is a snapshot, designed to place the returns achieved by the Portfolio into context; assist wealth advisers and trustees meet their regulatory requirements for on-going portfolio performance monitoring; and help the investor assess Portfolio performance.

This PPR provides an independent and objective assessment of the performance characteristics of the Portfolio in both absolute terms and relative to any specified Benchmarks and a Peer Group. The multi-asset portfolio peer group is based on data provided to Asset Risk Consultants (ARC) to calculate the Private Client Indices (PCI).

Understanding how the Portfolio has performed versus an appropriate peer group is vital to ensure that the Portfolio is delivering results within an acceptable risk/return range. The historical differential between the best and worst performing portfolios is substantial. The PPR puts the investor in control of the facts and enables them to consider if any action is needed.

Our peer group is a who’s who of wealth management companies in the UK. All the very big boys. I believe our customer service is better as we take things personally around here. However if our engines won’t take you to your destination, we can expect to lose you to our competitors. Here are the biggest that we benchmark ourselves against.

Albert E Sharp LLP
Arbuthnot Latham & Co Limited
Barclays, Wealth & Investment Management
Brewin Dolphin Ltd
Brooks Macdonald
Brown Shipley
Charles Stanley & Co Limited
Citi Private Bank
Close Brothers Asset Management
Coutts & Co
Credit Suisse
Deutsche Bank
HSBC Private Bank (CI) Limited
Investec Wealth & Investment Limited
James Hambro & Partners LLP
JP Morgan Private Bank
Lloyds Bank Private Banking Limited
Lombard Odier & Cie
Morningstar Investment Management Europe
Nutmeg Saving & Investment Ltd
Odey Wealth Management
Prudential International Assurance
Quilter Cheviot Investment Management
Rathbone Investment Management Limited
Redmayne-Bentley LLP
Rothschild Wealth Management (UK) Limited
Royal Bank of Canada Investment Management (UK)
Ruffer LLP
Sanlam Private Wealth
Seven Investment Management Limited
St James’s Place
Standard Life Wealth
Tilney for Professionals
UBS Wealth Management (UK)
WH Ireland Limited
Whitechurch Securities Limited

Here is the performance statistics of the engines we generally use with our clients.

AIM MODEL PORTFOLIO

AIM Portfolio

AGGRESSIVE MODEL PORTFOLIO

Aggressive Portfolio

MODERATE MODEL PORTFOLIO

Moderate Portfolio

CAUTIOUS MODEL PORTFOLIO

Cautious Portfolio