Leading wealth advisory firm Centric Wealth today announced an integrated new portfolio management approach that represents a step change in the delivery of professional financial advice in Australia.
Years in development, the ‘Next Generation’ approach combines a robust investment philosophy and framework with quality advisers, expert research, investment personnel and strong supporting technology and systems.
John McMurdo, Centric Wealth CEO, said the ‘Next Generation’ approach is the amalgamation of the best available investment thinking and advice practice, and will offer investors the benefit of reliable financial outcomes through a range of varying market conditions. It amounts to the application of institutional grade investment practice, customised to the individual requirements of clients and their portfolios.
“Centric has invested heavily over the last two years to develop this holistic approach and address some of the issues that investors worldwide experienced during the GFC,” he said.
“Many of these issues, in our view, arose from an unquestioning attitude to accepted investment theory and practices which, in some circles, continues today.
“In terms of content and philosophy, our new approach challenges that thinking. Then, in its practical application, it goes on to encompass every stage of the advice chain, so our clients can be sure that they experience benefits at every point of contact with Centric Wealth.
“So, for example, it includes the research that underpins our advice, the client adviser relationship and the many considerations addressed there, right through to the tools and other support used to execute and manage a client’s affairs effectively. It’s a more sophisticated overall methodology to match the more complex and sophisticated needs of today’s investors.”
Mr McMurdo went on to explain that the new approach is based on dynamic asset allocation and a ‘real-world’ concept of risk management that is a far cry from conventional ‘mean variance’ methods that are so demonstrably flawed.
Chris Cuffe, Non-Executive Centric Wealth Director, said, “It’s no secret that investors remain wary even two years after the height of the GFC. As a consequence, many may have missed out on gains due to lack of confidence both in advice and the markets.
“The problem is, for many investors to achieve their financial goals, they will need greater returns than so-called ‘safe’ havens, such as cash, can offer. It seems clear that they need to feel confident that they are being well and ably advised before they make any investment moves. Centric’s focus is on giving investors this confidence.”
At today’s launch event, attendees were taken through the ‘Next Generation’ approach in detail, with presentations from Ashley Owen, Chairman of Portfolio Construction Committee – Investment Research, Centric Wealth and Brett Sanders, Director of Portfolio Construction and Management covering the investment philosophy and framework and its integration into a progressive investment process that includes complementary advice and practice management.
Late last year, Centric Wealth lifted the bar for the financial advice industry when it released its own standards for best practice financial advice, The Centric Wealth Professionalism in Financial Advice Standards. Centric’s ‘Next Generation’ approach represents an extension of that ‘best practice’ philosophy and another major leadership move in the industry.