Investment Management Services

Transcription

1 Investment Management Services

2 IMS Capital is an Investment Management organisation implementing investment solutions for the clients of Independent Financial Advisers (IFA's) and Financial Planners. Investment Management Services IMS Capital offers a range of risk-graded model portfolios which provide individuals with an opportunity for long-term growth in a range of international markets. IMS Capital is based on the south coast of England and works exclusively with IFA's and financial planners throughout the UK.

3 Services At the heart of our proposition is the knowledge that investors and their IFA s want a service that is simple and at the same time effective. Everyone wants to maximise the growth on their investments and using a selection of well managed investment funds can often be the best solution. Combining various styles and types of investments, a diversified portfolio can produce significantly better returns than those associated with the interest rates offered by banks or building societies. The key to successful investment is in the time you give money to grow and choosing the investment sectors and investment managers wisely. Our investment service offers a range of risk graded portfolios for either growth or income.

4 What we do Our management team utilises market-leading analysis and we apply a rigorous investment screening process in order to develop a set of risk-adjusted asset allocation models. Our own research adds a critical layer of shorter-term asset allocation and fund selection. A core component of any investment proposition is how your investments are reviewed; our portfolio service will monitor the progress of each portfolio and will provide a quarterly update detailing the performance of the portfolios and make recommendations to alter funds where we feel it to be necessary. All of our investment solutions are designed around a client s attitude to risk. Using our precise but simple risk assessment tool they can identify their individual risk profile and tolerance for loss. We offer a range of six model portfolios: two natural income options, three designed for capital growth and one ethical. With the support of you, the client IFA/Financial Planner, they can identify which of these options is most suited to their objectives. We aim to achieve a balance of risk and reward according to their specific situation and goals. But our first priority is to protect and grow their assets in a controlled, positive way.

5 Our philosophy The key philosophy behind our investment process is the firm belief that over the long term asset backed investments (e.g. those made into the shares of companies) perform better than things like cash and fixed rate deposit accounts. Further to this, regularly reviewing the allocations selected is imperative to securing long-term returns. Our process identifies geographic regions where we think value can be had but the key is to rebalance these predictions regularly to ensure that portfolios are not over or underweight in any region. Our research has shown that in the ten years to 2010 four different regions were the best performing over individual twelve month periods but three of these regions also finished as the worst performing at least once as well. It is this variation that means keeping a watchful eye on allocation forms the core of our ethos. Of course, another key element is making sure that the underlying investments remain suitable for client needs and this means that we recognise the importance of strong relationships between clients and their financial advisers. This relationship ensures that as their situation changes their investment portfolio evolves to reflect it.

6 Our process 1. Strategic Analysis The basis to each of our portfolios stems from a third-party asset allocation model which matches our risk assessment categories. This strategic asset allocation gives a guideline to which geographical regions should be allocated holdings given set levels of risk. 2. Tactical Asset Allocation In conjunction with the strategic analysis our investment committee meets to decide which geographical regions should be given a higher or lower allocation based on its predictions for the coming period. This part of the process provides a large proportion of the added value for the portfolios. 3. Fund Selection The committee starts by looking at the relative performance and risk of entire subsets of funds (e.g. UK equities) and uses a series of ranking systems to narrow the funds to a shortlist. This allows a vast number of funds to be efficiently reviewed. 4. Portfolio Construction In line with any asset allocation changes or fund sale requirements the committee uses shortlists to investigate which funds are most suitable. This will include research to establish investment procedures and financial stability as well as more detailed examinations of risk adjusted performance. 5. Performance Monitoring 4. Portfolio Construction 5. Performance & Risk Monitoring Each portfolio is reviewed quarterly and the underlying asset allocation is revised to ensure it remains broadly in line with the strategic view whilst incorporating any tactical modifications. Afterwards the underlying funds are reviewed to ensure ongoing suitability and the portfolios are adjusted to take account of any required changes. 3. Fund Selection 1. Strategic Analysis 2. Asset Allocation

7 Investment choice DEFENSIVE INCOME HIGH INCOME CAUTIOUS BALANCED GROWTH ETHICAL A portfolio designed to produce a steady level of income by investing into government and corporate bonds, blue chip equity and commercial property. This portfolio is intended to produce a higher level of income and growth by investing into corporate bonds as well as UK and international equities. Designed for the lower risk investor this portfolio invests in a mix of fixed interest and equity to generate a return balanced between the two types of asset. Whilst remaining largely centered on the UK this portfolio includes elements of developed and emerging market equity with a view to producing a higher level of return. Investing into a range of geographic regions this portfolio has a focus on higher risk assets making it suitable for investors willing to take on more risk for higher potential gain. A portfolio designed using a socially responsible screening process seeking returns from equity and bond investments but not without regard to the impact the underlying companies have on the environment or society.

8 RDR and the need to outsource your Investment Process Survive or Thrive under RDR Thriving, not just surviving, under RDR, will require a robust, demonstrable and repeatable investment process. Such an approach can help you to: Have more satisfied clients Create client loyalty Build greater business value Reduce risk in your business As an IFA you have the following choices, which in their own right have pros and cons: 1. Create an in-house investment process Pros: Maintain control of your advice Keep the client relationship close to you and your business Provide an excellent service Cons: Most IFA's and financial planners do not have the experience or relevant qualifications to run such a process. The initial and ongoing cost of running such a process is very expensive and the firm or adviser is normally unable or unwilling to spend the money. The risk of the investment process lies firmly with you and your firm.

9 2. Outsource to a DFM Pros: Outsourcing the process will allow you to spend more time with your clients. Transfer the costs of running the process to the DFM and your clients. Reduce risk in your business. 3. Sell your business and move on Why would you want to do this? Cons: A DFM will normally require you to move your client's assets away from the existing product or platform to their own platform. Loss of the control of your client (sometimes permanently) Potential to remove you from the advice process and encouraging the client to ask "what does my IFA do and why am I paying them?" There is another option

10 4. The IMS service is an outsourced investment service with a difference. Our process will enable you to have a managed risk graded portfolio service for your clients often leaving the assets on the same platform. We will simply be supplying your firm and clients the investment expertise and administration for you to run your own professional investment process. Key Benefits The investment service is from you and can be "white labeled" The client (in most cases) will not have to move assets from their current platform The relationship will remain with you You will be kept up to speed with exactly what changes have been made to a portfolio and why Zero initial costs for you/your firm or your clients A small percentage cost per annum paid for by your clients Portfolios available for the majority of tax wrappers to include collectives, ISAs, on and off shore bonds, personal pensions and SIPPs You will reduce risk in your business You will be able to evidence to the FSA and more importantly your clients what you are doing for your fees and therefore have no fear of the requirement under RDR to have a professional and robust investment process

11 How to contact us Telephone: Website: Offices: 5 Lancer House Hussar Court Westside View Waterlooville PO7 7SE

12 IMS Capital 5 Lancer House Hussar Court Westside View Waterlooville Hampshire PO7 7SE Tel: