Business Development Updates

23 October 2018

Join NS&Is new phone service for advice firms

Join the firms who have already taken up the new telephone services via the Adviser Helpline (0800 092 1228).

For the first time, firms now have access to information on their clients’ NS&I holdings over the phone. These services have been introduced in response to feedback received from financial advisers and their colleagues, highlighting the need to make NS&I easier to work with.

The new services feature:
 
•         Increased speed of access
           
•         More client information available to advice firms
           
•         New indefinite ‘Client Letter of Authority Template’
           
•         A ‘Terms of Business Agreement’ to protect all parties
           
•         Whole firm access to information



Note:A single signed Terms Of Business Agreement between NS&I and your advice firm, and a signed Letter of Authority from each client, is required in order to obtain information on their holdings with NS&I. Please ensure that you have a Terms of Business Agreement in place before attempting to register any Letters of Authority.

More information

Further information on these service enhancements is available on the Adviser Centre nsandi-adviser.com, and both documents referenced above can be downloaded from this site.

Next

Later in 2018, NS&I is planning to launch online access to information on clients’ NS&I holdings. This will be via secure log-in on nsandi-adviser.com

15 October 2018

New multi asset solution from Invesco

In an era of increasing regulatory pressure, the need for efficient, cost-effective and compliant investment solutions has never been greater.

The newly launched Invesco Summit Growth Investment Series of five multi asset funds with increasing risk levels, enables you to easily match your clients to the right fund for their investment objectives.

Cost-effective access to Invesco's global active and passive expertise with ongoing charge figures from 60bps to 80bps Simple way to provide your clients with a truly diversified source of returns Full service product with due diligence and client communications made easy

11 October 2018

Octopus Titan VCT now open for new investment

Octopus Titan VCT, the UK’s largest venture capital trust (VCT), has just opened for new investment. The fundraising target is £120 million.

Clients who invest before 25 October will get the Early Bird Discount of 1%.

Not only that, as a thank you to clients who’ve invested in any Octopus VCT before there is a 1% loyalty discount to the initial charge, whenever they choose to invest.

Octopus Titan VCT has a portfolio of more than 65 companies across a diverse range of sectors.

In recent years the VCT has backed businesses such as Zoopla, Graze and Secret Escapes, supporting them to become household names.

You can find all the information you need, including the brochure, prospectus and application form, on the Octopus Titan VCT web page

For more information visit the webpage or call your local Business Development Manager on 0800 316 2067. 

Useful resources:
Guide: Download our client-friendly guide to venture capital trusts >>
Webpage: Visit the Octopus Titan VCT webpage >>
Webinar: A look inside Octopus Titan VCT, Tuesday 16 October >>
Request a call: Want to speak to someone? We’re here to help. Request a call back here >>

 

Key risks to consider:

The value of an investment, and any income from it, could fall as well as rise. Investors may not get back the full amount they invest.  Tax treatment depends on individual circumstances and may change in the future. Tax reliefs depend on the VCT maintaining its VCT-qualifying status.

VCT shares are by their nature high risk, their share price may be volatile and they may be hard to sell.

04 October 2018

Download this 2018 edition of the Brooks Macdonald seven-step guide to DFM due diligence

Demonstrating client suitability and selection of one discretionary fund manager (DFM) over another has become an important requirement for the regulator, as highlighted in the FCA's Thematic Review 16/1 on suitability and due diligence.
 
To assist with this requirement, Brooks Macdonald produce an annual seven-step guide to DFM due diligence, which is now eligible for 2 hours of structured CPD. You can download the guide (now in its 8th year) , generate your DFM shortlist and review independent analysis to help with your evaluation on this due diligence portal. All well as the 22 page guide, you can access valuable tools here and Excel spreadsheets to help your process.
 
Visit the due diligence portal >>
 
We hope you find this information useful, and if you have any feedback or queries please do not hesitate to get in touch on [email protected]

26 September 2018

Aegon: Relevant Life Simplified Webinar recording

05 September 2018

Enhance your understanding of lifetime mortgages

Aviva have launched an information and training hub focused on this important growth market. It offers:

•    10min video - learn about the growing market and what it could mean for your business 
•     ‘Customer Profile’ guide -  6 case studies to show how different types of client could benefit from lifetime mortgages 
•     ‘Fact Find’ aid - know the key questions to ask your clients about their attitudes to equity release and housing wealth

Access all this support here>>

20 August 2018

A place for Guaranteed INCOME in an invested world

Having the freedom to access pension funds has led to a shift in purchasing behaviour, with many people remaining in drawdown when they would have previously chosen an guaranteed income for life (GIfL) provided by annuity.
 
This latest paper from Just  explores the case for continued use of a GIfL in your clients’ retirement portfolios.
 
In brief, the key points are: 

Longevity – can your clients afford to take on this risk?  Consider the benefits of a personalised rate based on circumstances such as height, weight, marital status and postcode. An individual doesn’t need to be ill to get an increased rate.  The GIfL rates for a healthy 65 year old (averaged from December 2017 to May 2018) show that they can achieve a lifetime income rate of over 5%.  By securing an underpin of guaranteed income, the adviser is able to rebalance the remaining equities, incorporating the GIfL as part of the portfolio. 

To test this, we can look at replacing the bonds element of an example portfolio with a GIfL. (Please see full article for examples)

Using GIfL even at higher withdrawal rates, increases the probability of maintaining income, as the volatility found in bond funds has been removed.  When it comes to providing a sustainable withdrawal rate, treating GIfL as a guaranteed asset class shows that blending works.  Finally, it is inevitable that there will be a market correction at some point, and blending in this way will help to mitigate some of the downside. 

To access the full paper and the complete set of Think pieces from Just on decumulation.

29 July 2018

Invesco Perpetual - 2018 Investment Intelligence Seminars Round 3 - Reserve your place

You can now sign up for the final round of Invesco Perpetual's 2018 Investment Intelligence Seminars. Make sure you reserve your space at one of the 70+ events!

A wall of worries

With investor concerns weighing heavily on global financial market performance in 2018 so far, Round 3 will take an in-depth look at some of these headline issues, including trade wars, slowing growth and politics. Are they warranted, or should we take a step back? For more details, see the event page.

Join Invesco Perpetual

Attendance will qualify you for 80 minutes of structured CPD.

22 July 2018

Evidencing Capacity for Loss in Decumulation

Since pension freedoms, many retirees opt to remain invested using drawdown products, electing to shoulder various risk burdens including investment timings, market volatility, and longevity.
 
Yet when clients move from accumulation to decumulation there are different challenges, including the shift from a focus on risk appetite to capacity to absorb capital and income loss. The central question becomes – how do you advise clients who wish to enjoy a good income in retirement without running out of capital? The answer has been seen in terms of setting a single sustainable withdrawal rate. Just have developed a new Think Report which makes the case for new thinking on this issue.
 
A change in advice principles
 
A modern view of capacity for loss in decumulation is derived from a ‘principles’ based advice approach.
 
Pre-pension freedoms, the amount of funds available drove the product choice, with arbitrary fund limits in place before entertaining drawdown. Below this, and it was an annuity.
 
This simplified approach doesn’t really cut it anymore, now we see a split between ‘safety first’ and ‘probability driven’. This allows differentiation between retirement goals, requirements for longevity risk management, and evidencing capacity for loss.
 
Safety first
 
Step one is to establish the clients essential spending and ensure this is covered, typically with a guaranteed product which will typically tend to have a lower Sustainable Withdrawal Rate.
 
Probability driven
 
Then Step Two - to cover discretionary spending a ‘probability-driven’ approach is required – with funds placed in drawdown and clients talking on the longevity risk and a higher rate of SWR for this element of their capital. The Think Report includes a full case study showing how assessments of capacity for loss cannot be carried out in aggregate but must first look at client requirements for different income tiers.
 
Summary
 
Looking at capacity for loss in this way in decumulation pins down what the money is really for.
 
Taking income from drawdown can be complex, and demonstrates the part advisers play in managing client expectations.

This new Think report from Just looks at this issue in depth. You can read it here

11 July 2018

Introducing Orbis investments - they're different

You might not have heard of Orbis before - they’re quite new to the UK retail market – but their impressive 28-year track recordof delivering returns for institutions, pensions and high net worth individuals is definitely worthy of your attention.

Could their approach work for you?

Some find Orbis’ long-term and contrarianinvestment approach too different, and therefore challenging, but it might be right for you and your clients.

Do you believe that to outperform you have to invest differently?

Orbis looks for ideas in unpopular and ignored areas, digs deep into company fundamentals and aims to capitalise on short-term noise. Privately owned, their independence allows them to stand by their convictions so that your clients can benefit over the long term. 

Do you agree that fees shouldn’t be paid when a fund underperforms?

Orbis puts their money where their mouth is. A unique refundable fee structure means they’re only paid when they outperform the benchmark, and actually refund fees if they don’t.So their success depends on creating value for your clients.
 
You can access their two retail funds on most major platforms

They believe in doing only a few things, but doing them well.  Their two highly-rated Orbis OEIC Global Equity and Balanced Funds launched in 2014 are now available on most major platforms

Shared interests, shared success

Orbis believes in the value of good independent advice and looks to serve clients in partnership with financial advisers who aren’t looking for the usual solutions and who appreciate the value of long-term investing, done differently.
For more information on how the Orbis difference can benefit your clients, don’t hesitate to contact your local Orbis representative, or visit their website. 

As you know, past performance is not a reliable indicator of future results.

03 July 2018

Compounding costs and opportunities lost

Research has shown that many clients see fees and charges as one off costs. They don’t necessarily realise that costs compound negatively and make it harder for them to meet their financial goals and aspirations. 7IM was a pioneer in making passive investments available to everyone. Last year, 7IM worked with Distribution Technology to create a range of three portfolios mapped to a range of risk profiles so that more clients don’t miss out.

 

Choice of funds
Three funds conform to Dynamic Planner risk profiles 4-6, and provide a solution for investors with a broad range of risk tolerances.

Dual expertise
Clients receive the combined expertise of Distribution Technology’s asset allocation and 7IM implementation, at a low cost and with rigorous risk management.

Risk targeting
Each fund is monitored on a daily basis by 7IM’s independent risk team to ensure that the funds stay exactly in line with Distribution Technology’s asset allocation.

High quality reporting
Quarterly reports are available via Dynamic Planner and can be white labelled for individual firms, allowing you to tailor each report to your client’s needs.

Competitively priced
The funds have very competitive OCFs of between 0.32% and 0.34%, which help advisers manage total costs for their clients, while having access to Dynamic Planner’s asset allocation.

Find out more here>>

02 July 2018

ESG event 18th July - full programme released

Secure your place at this key event on ESG - 18th July London - all the details here>>

21 June 2018

Managing income in retirement - new thought leadership paper from Just

In recent Adviser Home research we asked advisers to tell us their priority areas for content and information. Top of the list was retirement income so we are pleased to offer a series of thought provoking resources from Just, all focused on client income choices in retirement. 

Advisers, of course, place the highest priority on the issues facing clients in retirement; mitigating risk and preserving capital whilst delivering income.

It’s well established now that managing risk in retirement brings its own special challenges. Clients want the best of all worlds – access and control along with the reassurance that their money will last as long as they do. 

But in research carried out by Just, 57% of advisers still used the same investment strategies, for both accumulation and decumulation. 

The rigors of pound cost ravaging 

What’s required? - a robust advice process specific to decumulation with an investment strategy that can adapt to the post retirement rigors of pound cost ravaging and sustainability of income for life. 

A de-risked decumulation strategy also sets the scene for what lies ahead for retired later life, the vulnerability challenges, and changes to risk perception and capacity for loss. 

Advisers are at the centre of this revolution in retirement thinking; retirement will be a huge part of most people’s lives, and as such needs the focus, consistency and surety that a decumulation proposition can offer.

You can read more about this fundamental issue in this Think article ‘De-risking retirement income strategies.’   

18 June 2018

Is your clients business a main source of their wealth?

If so, business continuity and succession planning will be required as a core element in their wealth management programme. But do all your business clients appreciate the risks to their business? That’s where Aegon’s Introducer toolkit can help.
 
Understanding the need and the risks
 
Whether your clients are sole traders, shareholders in their own company or partners in a firm, you can use Aegon’s Introducer toolkit to help position the need for business protection cover without having to sell insurance-based solutions. The customer-facing toolkit covers: 

How does your business work? Risk assessment – impact and insuring the insurable. Probability – ‘It won’t happen to me’ and likelihood of death or illness. Questions to think about – to help uncover continuity and succession planning needs. 

Once your clients have worked their way through the sections above, you can then use Aegon’s Continuity and succession planning forms to help them identify their business protection needs.
 
Continuity planning - liability audit

Aegon’s Business protection liability audit is quick, easy and effectively highlights the need for cover. In particular:

the need for business protection cover to provide the funds to repay any business loans, and the money that would be needed should a key person die, become critically or even temporarily ill, or is totally permanently disabled, to:
– recruit a replacement person;
– cover the short-term loss of profit, or
– allow the business to continue paying and employing someone who’s unable to work.

 
Succession planning – referral form

This will help you help your clients understand the risks to their business – have they managed these risks and if not, what steps do they need to take? In just a few short questions, Aegon’s Succession referral form  gives you and your clients an essential check list as a bedrock of business risk management – a keystone in your clients wealth planning.

Visit here to find out more about business protection.

11 June 2018

You are invited to:- Sustainable Investing - An Adviser Event

Who should attend?
In the US over $9 trillion professionally invested assets are in Sustainable Investments. It’s long been a core subject in Europe and now in the UK is one of the biggest growth trends and  moving firmly into the mainstream as every fund has to answer the question “ What is your ESG policy?"

This event is for financial advisers / planners and wealth managers interested in sustainable investing and its place in client portfolios. We will discuss sustainable investing from the perspective of asset managers but also what it means in practice for advisers and their clients. Whether you automatically embed sustainable investing in your client’s portfolios, or only do so on request this event will help your business and your clients.

What’s on the agenda?

ESG – an over view, how it’s developed in the investment world Embedding ESG into the investment process Does a “good” fund mean a reduced return? Elements of Sustainable Investing – different approaches Consumer and investor attitudes – trends and developments What do consumers think - global consumer trends in sustainable investing How can advisers build ESG into their portfolios? Impact investing – influencing company behaviour through investment Environmental funds Discussion  throughout and panel session including advisers active in this market

Who will be presenting?
The event will be chaired by leading commentator John Lappin and we will have presentations from:-

BMO Global Asset Management M&G Investments Pictet Asset Management RLAM Schroders Hawksmoor

Where is it?
City of London Club 19 Old Broad St London EC2N 1ER

When?
July 18th 08.30 arrive for coffee. Sessions start at 09.00. Lunch is provided then depart by 14.30

To secure your place
This is an adviser only event and places are limited.Register here>>

01 June 2018

Prudential launches a new Life Events hub

Recognising that it’s important you’re there for your clients at key milestones they reach and challenges they face, Prudential have launched a new Life Events hub.
 
It gives easy access to a host of material that can be used when supporting clients:

going through a divorce getting married or remarried looking to leave a legacy that have received a windfall are planning for retirement doing some intergenerational planning

 
Prudential will continually add new support to the hub, so make sure you save it as a favourite and visit regularly.

Go to the Life Events hub