Australian ETF specialist, ETF Portfolio Solutions, has added to its suite of service offerings for independent financial advisers (IFAs) and licenced accountants with several additions to its model portfolio suite planned prior to Christmas.
“The ETF segment continues to grow rapidly in Australia at more than 45% in the last 12 months, reflecting global growth trends, and we know this local growth is driven by IFA-type advice practices and SMSF investors”. Based on a similar rate of growth , we forecast this segment to grow to in excess of $100bn by 2020”.
Furthermore, Bradbury added that his business helps advisers who don’t want to construct their own ETF portfolios through the Adviser Direct Subscription (“ADS”) service.
“For those advisers who want detailed asset allocation assistance in building portfolios, we will soon expand our ADS Model Portfolio suite to include a Conservative portfolio and a high income portfolio for the client in “pension phase”. This will round out our suite of Model ETF portfolio to 6 but we don’t plan to stop there”.
ASIC has recently stated they “..will consider model portfolios as a suitable investment under best interest duties…..”
ASIC says model portfolios fit with best interest duties
What portfolios are available?
The models provide a combination of multi asset class portfolios using ETFs. They follow robust institutional portfolio construction methodology by targeting a range of specific return and risk targets and have been constructed in conjunction with Atchison Consulting – a leading institutional asset consulting firm.
The current suite of portfolios is:
– Diversified ETF portfolio,
– Diversified Plus ETF portfolio
– Diversified (ex Australian shares) ETF portfolio (which enable adviser to pick their own active managers or shares).
– International shares portfolio.
– Conservative ETF portfolio COMING SOON
– Pension Living Income Plus portfolio COMING SOON
Bradbury went on to say “The investment industry talks very freely about “active and passive portfolio construction” but there is limited assistance to actually help IFAs. To our knowledge, the free CombinR tool is the first of its kind in Australia. Advisers know which active managers they like, this service goes a long way to helping them with specific asset allocations, portfolio breakdowns and other key metrics.”
Adviser Direct Subscription service suits the needs of IFAs and boutique practices. Our IFA clients use our portfolios in conjunction with their preferred active managers or Australian shares, all for a single fixed price.
“Our ETF model portfolios enable advisers to advise and not have to be investment managers too.” said Bradbury.
“The portfolios are professionally monitored and managed in conjunction with our asset consultant partner, Atchison Consultants.”
