Managed portfolios key to building stronger adviser-client relationships


Andrew Alcock

Managed portfolios are becoming a key element to building stronger relationships between advisers and their clients, according to a new whitepaper by Core Data and HUB24 entitled: Managed Portfolios – A sound investment in your clients and your business.

According to the whitepaper, advisers who integrate managed portfolios combined with a comprehensive platform have been able to place a greater focus on their core function, which is to provide holistic planning and strategic advice. Through managed portfolios, advisers can outsource investment management, mitigating some of the burden associated with records of advice.

The white paper states that the use of managed portfolios can be a radical step for advice practices and it may involve a rethink of an adviser’s value proposition. Whether they are outsourcing investment management or using them to access direct investments, managed portfolios allows advisers to focus on what they do best – engaging with clients to provide holistic, strategic, and tailored advice – the very activity that clients value most.

A survey conducted by the Association of Financial Advisers (AFA)[1] found 82% of adviser clients place greatest importance on their adviser’s ability to build rapport, show their concern for the client and understand the client’s needs. Strong technical skills on the other hand are assumed to be a given, with just 4% of respondents citing this as the ‘most important’ quality of an adviser.

Commenting on the whitepaper, HUB24 Managing Director Andrew Alcock said: “As advisers look to grow more efficient and profitable businesses, managed portfolios provides them with a more efficient way to implement their client strategies.

“With managed portfolios, advisers’ clients can also benefit from a flexible, cost-effective investment solution with increased transparency and tax efficiency, as well as sophisticated tools which can predict and optimise clients’ tax positions when switching portfolios.

“We believe that managed portfolios will continue to transform wealth management in Australia by allowing financial advisers to focus on what they do best,” he added.

HUB24 leading the way

HUB24 was awarded Best Industry Platform for Managed Accounts Functionality in the 2016 Investment Trends Platform Competitive Analysis & Benchmarking Report.

“Thanks to our investment in technology over the years, our company today has the largest and most functional managed portfolios and managed accounts platform in the market,” said Mr Alcock.

“We will continue to expand our product choice so that advisers and their clients can take advantage of the best investment opportunities using our award-winning platform,” Mr Alcock added.

[1] The trusted adviser: Honouring the client at every turn, AFA whitepaper, May 2013.

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