These premium portfolios let savers invest in a strategy that matches their risk appetite in a single, sophisticated fund. The six risk-target Select portfolios aim to boost returns by holding funds that we, and independent fund research consultancy Morningstar, think are among the best in their sectors. All customers need to do is agree, and regularly review, their risk appetite with their adviser.
- Let savers choose the balance of risk and long-term growth potential that’s right for them
- Benefit from Morningstar's asset allocation and fund research expertise
- Offer exposure to ‘best in class’ funds from managers rated by Morningstar
- Are backed by our Funds Promise, so we monitor them and make any changes we need to.
How the portfolios work
Morningstar uses an asset allocation model to create the optimal strategic asset mix for each target risk level, and then tactically refines it to account for shorter-term expectations.
With the aim of maximising performance, each portfolio invests mainly in highly rated funds selected by Morningstar.
Monitoring and rebalancing
All our fund ranges are monitored to check we’re keeping our Funds Promise, but for our Select Portfolios we make extra commitments:
- We make changes based on recommendations from Morningstar
- We check both the component funds and overall portfolios meet their objectives
- We add or remove funds, or change the mix, quarterly if needed to ensure the optimum blend.
There’s no guarantee that fund objectives will be met. The value of an investment may go down as well as up and investors may get back less than originally invested.
Learn about these low-cost Risk-Target portfolios.