Aberdeen Standard Investments has announced it will add five passive products to its Myfolio range as part of a strategic partnership with Skipton Building Society in the same month it is due to merge a number of income funds in the range.
The £13.9bn multi-manager range, led by Bambos Hambi (pictured) and James Millard, will employ index funds as part of the five-strong risk-targeted range created for Skipton, which has a £4bn investment offering
Last month, Aberdeen Standard announced plans to merge its Managed Income range into its Managed range within the Myfolio range. Under proposals going to an investor vote on 12 April, the Managed Income range, rated I to V, will merge into the corresponding five risk-rated funds in the Managed range.
First strategic partnership with Myfolio
The existing range of funds has an annual management charge of between 0.07% and 0.4%, but it is unclear as to where the new range will sit.
A spokesperson for ASI said: “The underlying portfolios five risk profiled, multi-asset funds will be invested in a mix of equity and fixed income strategies meeting the needs of investors at different stages of their lives.
“The fees on the funds have not yet been announced but will be in due course. They will be competitive given the portfolios will be invest primarily in index funds.”
He confirmed it is the first strategic partnership specifically relating to the Myfolio range.
Gavin Fielding, editorial director at Fundscape, said: “It’s not really a full ‘partnership’ just a deal on price for an existing fund range.”
Aberdeen Standard and Fidelity refresh solutions
The announcement comes as Aberdeen Standard last week appointed Robert McKillop to the newly-created role of global head of product and client solutions.
The new product and client solutions division will be responsible for engaging with clients on matters that impact their whole portfolio and will be led by Ian MacDonald.
Rod Paris, CIO at Aberdeen Standard, said in a press release announcing the appointment: “We have been looking at our structure around solutions for some time across the two key components of client engagement and portfolio management.
“We believe there is a significant opportunity in bringing together our collective expertise to understand the needs of clients, customers and advisers, as the trend towards more tailored and outcome orientated solutions continues.”
Additionally, Fidelity International nabbed Andrew McCaffery from Aberdeen Standard for the newly-created role as global chief investment officer, alternatives and solutions.
In the new role, McCaffery will spearhead the development of both franchises, incorporating the existing multi asset, investment solutions design and real estate teams.
