Discretionary Index Portfolios

Discretionary Index Portfolios

Built on the success of our advisory portfolios we also offer a low-cost passive investment option as part of our Discretionary portfolio range. The portfolios are actively managed from an asset allocation point of view, but exposure to asset classes and markets is achieved using tracker funds and/or Exchange Traded funds, that aim to replicate asset class or market performance at minimal cost and without individual manager risk.

The asset allocation decisions are made taking into account the efficient market models produced by award winning Dynamic Planner and their target risk bands. These are reviewed annually from a strategic point of view. We are confident that these low-cost portfolios will provide attractive returns over the long term.

When the investments used in the portfolio are reviewed, key considerations are the managers ability to accurately track the benchmark index, liquidity, and the costs of doing so. Just like the Discretionary Managed portfolios, increased risk preferences within the portfolios are expressed through increased exposure to equities and other risk assets.

What is included in the Discretionary Index Portfolios?

• Access to Five portfolios each aligned to a target risk/return asset allocation model.
• A strategic approach to investing money, driven by the A J Bell investment team working in conjunction with us and using defined risk parameters.
• Portfolios that are tactically adjusted each quarter to reflect the Committee’s view on the most appropriate mix of assets to hold for a given investment objective and key changes in the market.
• Investments that are selected on a whole of market, best-of-breed basis.
• Our Discretionary Managed Portfolios are available via the A J Bell platform, a low-cost platform which offers functionality we believe is suitable for the majority of our customers.