Delivering robust due diligence, fund selection, asset allocation and guidance on best execution
Current Business Model
Discretionary Investment Management is a business in which investment decisions are made by the portfolio manager or investment manager on behalf of the client. Buy and Sell decisions are therefore made directly on the client’s account. This allows for economies of scales for the investor as well as discretionary managers.
Who is it for?
This service is generally only provided to High Net Worth Individuals who have significant investable assets. Under MIFID II, several financial intermediaries are finding this a good solution for affluent investors with lower assets as the regulation restricts providing investment advice as well as receiving trailing fees.
What are the Risks?
The biggest challenge for discretionary managers is the ability to demonstrate to their clients and to the regulator that they truly provide ‘value for money’. This requires a strong governance process throughout the investment decision-making process and to ensure best execution when implementing their portfolio.
How We can Help
360 Fund Insight will be your partner to provide an independent overview of the governance of portfolios investing in third party managers. We will help you mitigate the most crucial regulatory risks regarding due diligence, manager selection and monitoring.
We can also provide guidance on best execution for your portfolios by combining investments in passive funds and truly active alpha generators in an the most efficient and cost-effective manner.