Advisers increasingly seeking multi-manager solutions
In today’s competitive investment environment advisers need to work harder and smarter to service and retain clients. Rather than spending time researching, dealing with the burden of paperwork, and the risk management side of investments, advisers should be spending more time on helping clients achieve their strategic financial goals and objectives, while still allowing them to implement effective investment choices.
This has led to an increase in demand for multi-manager solutions and both advisers and clients have reaped the benefits of outsourcing the investment function. Research that we undertook discovered that there was a relatively high level of satisfaction of investment experiences regardless of the method of implementation. In other words, clients like to see their advisers produce a holistic plan that helps them achieve their long-term goals and objectives and are less troubled by the method of investment vehicle.
Benefits of a multi-manager solution for your business
- More time to spend developing client and business strategies: Less time spent on researching and monitoring funds and managers gives you more time to spend on developing your business and providing clients with holistic financial plans.
- A reduction in the cost of doing business: The administration associated with multi-manager solutions is minimised as it is outsourced to the provider. This reduces your overall business costs and provides value-add to portfolios, while at the same time de-risking your business, as the multi-manager provider is responsible for rebalancing the multi-manager solution.
- A reduction in the cost of investing: Providers of multi-manager solutions have access to wholesale pricing, which you may not have. Also, they often use a mandate structure (rather than a trust structure), which means there are minimal buy and sell costs when changing managers. These cost savings benefit both you and your clients.
New Pursuit Focus IDPS
Our new Pursuit Focus Investment Service will be available from next week. It allows you to manage the investment part of your financial advice offering in one place – simply, easily and cost-effectively – without compromising on quality. In a compact platform, you benefit from a choice of 11 well-rated multi-manager solutions. To find out more about these solutions visit ioof.com.au/investment-central
To find out more about Focus IDPS or our multi-manager investment solutions, contact your Client Solutions Manager.