The newly titled Managed Portfolio Service (MPS) is a discretionary investment management service that combines sophisticated asset allocation and manager research techniques alongside in-depth risk analysis.
It is available to intermediaries who invest through either pooled or collective funds, and who want to outsource the investment decision while retaining the overall portfolio management, ongoing monitoring and client relationship.
MPS covers four strategic models:
Cautious
- Preservation of the wealth of clients above inflation
- Defensive returns generated through diversified investments
- Maximum equity weighting of 30%
Balanced Income
- Growth of capital over inflation with a long-term yield
- Maximising income available to investors
- Maximum equity weighting of 50%
Balanced
- Improvement in the real value of client wealth over inflation
- Proactive use of investments in wide range of asset classes
- Maximum equity weighting of 50%
Growth
- Significant growth in wealth varying from year to year
- Aggressive and innovative approach for long-term returns
- Maximum equity weighting of 65%
The MPS fees are an annual management charge of 1% and a total expense ratio of up to 1.75%. The firm also offers MPS Plus – for which the intermediary gets greater involvement from PSigma’s team and on an ongoing capital gains review – with an AMC of 1.25% and a TER of 2%.
Commenting on the reprice, Thomas Becket, chief investment officer of PSigma Investment Management, said the change in pricing is the standard AMC has been reduced from 1.25% chiefly down to the removal of commission charges when making any changes to the portfolio, including a switch of funds. The focus is now more on an overall fixed rate charge.
Of the relaunch, he added: “In constructing the four MPS strategies we have developed a dynamic asset allocation process, combining a number of different asset classes, using core and satellite funds, including some of the most modern investment strategies.
“Intermediaries will hopefully recognise our ability to deliver equity-style returns with far less volatility and risk than the out-dated and old-fashioned traditional split between property, equity and fixed interest offered by the majority of our peers.”
