Cazenove Capital readies RDR solution
Cazenove Capital confirms the pricing policy for its multi-manager range and the appointment of Distribution Technology to risk profile the funds. Distribution Technology, a market-leader in the field of risk profiling, has risk profiled the range 4 to 8. Multiple share classes, including wholesale pricing, will be offered via platforms for advisers to meet price unbundling ahead of the new financial planning requirements.
The multi-manager risk profiled funds, with a track record in excess of five years, are now one of the longest standing ATR ranges1 available and will carry the following risk profiles:
Fund DT risk profile*
Multi-Manager Diversity 4
Diversity Income 4
Multi-Manager Diversity Balanced** 5
Multi-Manager Diversity Tactical 6
Multi-Manager UK Growth 7
Multi-Manager Global ex-UK 8
This third-party risk analysis delivered by Distribution Technology will assist advisers to accurately match a risk profile, in conjunction with their clients’ financial goals, to help make a suitable recommendation to clients.
To further assist advisers, Cazenove Capital will also be launching a 20 question Dynamic Planner risk profiling tool (free of charge) via a dedicated website in April.
In addition, Cazenove Capital confirms that its pricing policy will include share classes at 0.5% AMC to meet the requirements on fee unbundling demanded by the new RDR regime. This lower AMC offers flexibility for advisers in determining fee negotiations with clients via a platform, and highlights Cazenove Capital’s belief in the added-value clients receive from intermediaries.
The risk profiled multi-manager range forms part of Cazenove Capital’s Portfolio Management Service which includes tailored discretionary fund management for portfolios in excess of £250,000. Coupled with minimum investments of £1,000 for its risk profiled funds, Cazenove Capital offers a full spectrum of investment solutions to meet the requirements of financial advisers operating at all levels of the market.
Phil Morse, Director of Asset Management, Distribution Technology said, ‘We have closely assessed Cazenove Capital’s multi-manager range and our research has highlighted that while the funds are managed to a performance objective, risk is a key consideration for the multi-manager team. Distribution Technology’s risk categorisation of the fund range should provide confidence to advisers and their clients of the risk profile they will experience from investing in their funds.’
Robert Thorpe, Director, Head of UK Retail commented: ‘We conducted extensive research with key adviser firms which concluded a preference for outsourced investment solutions via a cost-efficient, risk-rated fund structure. We have sought to address this by applying Distribution Technology’s risk-ratings to our multi-manager range whilst clarifying our position on pricing. We now manage in excess of £1.5bn# on behalf of advisers via our Discretionary Fund Management service and flagship Diversity Fund. Through the Cazenove Portfolio Management Service, we can further assist advisers by delivering a range of risk profiled funds which offer low-cost pricing and have a credible investment track-record in excess of five years1. We remain convinced of the invaluable role of intermediaries in determining appropriate products for their clients.’
- Ends-
Victoria Hayes
Cazenove Capital
020 3479 0004 or email
victoria.hayes@cazenovecapital.com
Fiona Harris/Hugo Mortimer-Harvey
Quill PR
020 7466 5058/5054 or email
fiona@quillpr.com/hugo@quillpr.com
*Source: Distribution Technology, available in the Dynamic Planner tool from February.
**New launch expected April 2012. The current Cazenove Multi-Manager Diversity Balanced Fund will be renamed. These changes are subject to FSA approval.
# End December 2011. 1 Excluding Diversity Income which launched December 2010 and Diversity Balanced
which is yet to be launched. Cazenove Capital Management
Cazenove Capital Management Limited provides specialist investment management and high quality advice to professional advisers, institutions, charities and private individuals. It manages client assets of £14.9bn (at 30/11/11). For more information, please visit www.cazenovecapital.com
Important information
This document has been issued by Cazenove Capital. Cazenove Capital is the name under which Cazenove Capital Management Limited (registered No. 3017060) and Cazenove Investment Fund Management Limited (registered No. 2134680), of 12 Moorgate, London EC2R 6DA, each authorised and regulated by the Financial Services Authority provide investment products and services.
