Colonial First State launches SMA

– 11 model portfolios covering various asset classes, investment types and risk profiles
– Frees up advisers to spend more time with their clients
– Centrally managed by Commonwealth Private Investment Managers

Colonial First State (CFS), in conjunction with Commonwealth Bank of Australia (CBA)’s Business and Private Banking team, have launched a Commonwealth Private Separately Managed Account (CPSMA) product, which provides advisers with a simplified investment approach and frees them up to spend more time servicing clients.

CPSMA offers the choice of 11 professionally constructed and managed model portfolios, which cover a range of risk tolerances and offer managed funds, ASX listed securities and cash.

“Managed account structures have been around for a long time but have never really had strong market take up. They are getting more traction now due to the efficiencies they provide financial advisers and investors,” said Chris Stevens, General Manager of Colonial First State Custom Solutions.

“We currently administer more than $3.5 billion in managed account solutions on behalf of our clients. While there are multiple ways to structure a managed account in our experience it is the model portfolio technology underpinning each structure that enables us to tailor solutions to suit the needs of the adviser and the investor.

“Many investors prefer the simplicity of having their portfolio managed for them. By freeing them from time consuming paperwork and administrative tasks and allowing trades to be executed more quickly on their behalf, investors enjoy the comfort of knowing their individual portfolio will be maintained and adjusted rapidly to meet the challenges of changing market environments” said Mr Stevens.

Some of the key features of the CPSMA include centralised management, comprehensive reporting and a competitive fee structure, including fee aggregation across multiple accounts and products.

By investing in the CPSMA, investors authorise trading to be done on their behalf by the Portfolio Manager, reducing the amount of paperwork required for changes to the portfolio and ultimately saving them time.

“Furthermore, advisers will spend less time inputting data and detail into trading software or filling out and processing forms, allowing them to spend more time on high value activities. Commonwealth Private Investment Account holders retain beneficial ownership of the underlying investments within their chosen portfolio, “concluded Mr Stevens.

Why CPSMA?
– 11 model portfolios
– Centrally managed by Commonwealth Private Investment Managers
– Varied investment choice – models span a range of assets including Australian and global shares, property, managed funds and cash
– Quarterly automated rebalance
– Monthly cash sweep
– Competitive fee structure
– Comprehensive reporting