The multi-asset range, active since early January, is the result of a partnership with Cornerstone Asset Management and is hosted by Ascentric.
It has been launched in order to provide solutions that are more in line with the individual requirements of Cornerstone clients and regulatory guidelines.
The portfolios, which enable exposure to direct security holdings, are managed by TMI head of private clients and the firm’s equity team, Andrew Herberts.
“Rather than just provide a bunch of model portfolios, we are reacting to Cornerstone’s needs,” said Matt Lonsdale, TMI’s head of intermediary business development.
“Also, this feels like we are doing exactly what the regulator wants us to do, which is work closely with the firm to provide solutions that best fit the clients’ needs rather than shoehorn them into pre-arranged buckets.”
While the range is based on TMI’s existing defensive, conservative, balanced and growth model portfolio templates, Lonsdale outlined how the firm has tweaked the risk profiles to suit Cornerstone clients’ needs.
“Cornerstone want a number of different multi-asset providers with different styles,” he explained. “Our model portfolios have direct securities.
“When we looked our existing portfolio model templates there was a gap between conservative and balanced. Conservative was originally about 60% fixed income-focused and balanced was 37% income, so to meet Cornerstone’s risk profile we did some shuffling of fixed income and equity to fill the gap between the existing models.”
Lonsdale added that the partnership is prepared to sway with any wind changes stemming from client demand.
He said: “The models are built in a particular way, but our relationship with Cornerstone is that as such that if they said that they have clients wanting an asset allocation somewhere between the four models, that conversation is there to be had.”
