Allow us to propose an alternative

Investment and Pension specialists Charlwood IFA in Poole talk through the benefits of Discretionary Investment Management.

It’s no secret that successful investment management relies heavily upon market timing. Being able to read markets and execute trades swiftly can hugely increase the bottom line of investments and equally, substantially minimise losses. With this in mind, investors need to be confident their investments and pensions are managed to the extent they will benefit from either scenario.

In January 2013 regulatory changes were introduced because there was a lack of clarity regarding the different types of advisers, what they were able and qualified to advise upon and the associated costs. The objective was (and remains) to empower the consumer to make informed decisions as to with whom they wish to invest, what the costs will be and what level of advice and service will be provided.

There are two types of financial adviser, “independent” or “restricted”. A restricted adviser can only recommend certain products or product providers. This means they might only offer products from one company, or just one type of product. Essentially, an IFA recommends what is most suitable and best value from the entire retail investment market.

Regardless of their status, advisers can no longer be paid commission by providers so you will be charged a fee for advice and ongoing services. The cost of these services can vary significantly and therefore approach with caution. Integral to establishing if these fees represent value for money will necessitate a clear understanding of the service and expertise on offer.

Discretionary investment management services is a specialist service made available by investment professionals for investors wanting to maximise the value from their investments.

Remember the predominant factors which enable you to measure and assess value are investment performance, cost of service and of course satisfying yourself that the service provided is executed by investment professionals.

For many individuals their requirement is not for IFA services but discretionary investment management and the knowledge that their investments are professionally and robustly managed. Whilst we seek to capture and maximise growth and income opportunities, it is not at the detriment of placing and equal emphasis upon capital preservation. Individuals with these requirements are often unaware that they can secure these superior stand-alone services at less than half the cost of what a typical IFA charges.

Would you like to know more? Feel free to give us a call on 01202 768 512 or send us a message via our contact form