The models span cautious, income, balanced, growth and global equity, with underlying TERs of between 0.12% and 0.30%,
This is translated to the end-investor in terms of a lower overall fee structure levied at 0.2% plus VAT for Brewin Dolphin’s management charge.
Asset splits are set by Brewin’s asset allocation committee, with funds selected by its MPS investment committee.
Active funds are used where the teams believe it would benefit the portfolio and passives might not offer effective replication, for example in absolute return.
Passive fund usage will vary over time, and by the five portfolios, but it is currently between 79% and 100%.
The five models are re-balanced monthly to ensure the asset allocations are updated to reflect key developments in the investment markets.
Gareth Johnson, head of Managed Investment Services, said: “MPS Passive Plus will enable IFAs to choose the best possible investment strategy to fit with their clients’ expectations and investment needs.
“Brewin Dolphin’s new MPS Passive Plus range gives IFAs the best of both worlds with us actively reviewing asset allocation but using underlying cheaper passive funds to get the relevant market exposure.
“We’ve also ensured that as they launched, the major third-party risk ratings are available from inception to further assist advisers.”
