Rathbone Unit Trust Management expands multi-asset range

Rathbone Unit Trust Management Ltd (Rathbones) is pleased to announce the launch of two new multi-asset funds, as part of the Rathbone Multi-Asset Portfolio Funds (RMAP) range - the Rathbone Multi-Asset Defensive Growth Portfolio Fund and Rathbone Multi-Asset Dynamic Growth Portfolio Fund.

The funds will be managed by David Coombs and Will McIntosh-Whyte. They will be supported by investment specialist, Craig Brown.

The new funds have target returns of CPI+ 2% (with less than half the volatility of the FTSE Developed index) and CPI +4% (with less than five-sixths the volatility of the FTSE Developed index) respectively, over any five-year rolling period. Both will sit in the IA Volatility Managed sector.

The funds are actively managed and will follow the same proprietary LED* investment framework as the existing range, with a strong emphasis on managing risk. They will invest globally in a combination of government and corporate bonds, listed company shares, structured products and derivatives.

The Rathbone Multi-Asset Defensive Growth Portfolio Fund is aimed at lower-to-medium risk investors, whilst the Rathbone Multi-Asset Dynamic Growth Portfolio Fund is aimed at medium-to-higher risk investors. 

With the inclusion of the new strategies, the LED-driven range now consists of six target-return strategies:

Strategy

Objective

Target return

Vol. target (% of FTSE Developed Index)

Risk level

OCF

Total MiFID II charges

Yield

RMAP Total Return

Growth

Bank of England base rate + 2%

<33%

Lower

S-Class: 0.57%

S-class: 0.72%

S Inc: 1.40%

S Acc: 1.39%

RMAP Defensive Growth

Growth

CPI + 2%

<50%

Lower-to- medium

S-Class: 0.60% **

S-Class: 0.78% **

S Inc: 1.54% **

S Acc: 1.54% **

RMAP Strategic Income

Income

CPI + 3

<66%

Medium

S-Class: 0.75%

S-Class: 0.91%

S Inc: 3.82%

S Acc: 3.71%

RMAP Strategic Growth

Growth

CPI + 3

<66%

Medium

S-Class: 0.61%

S-Class: 0.74%

S Inc: 1.66%

S Acc: 1.65%

RMAP Dynamic Growth

Growth

CPI + 4

<83%

Medium-to-higher

S-Class: 0.66% **

S-Class: 0.84% **

S Inc: 1.49% **

S Acc: 1.49% **

RMAP Enhanced Growth

Growth

CPI + 5%

<100%

Higher

S-Class: 0.69%

S-Class: 0.91%

S Acc: 1.26%

(As at 31 May 2020)
The minimum investment level is £1,000
**Estimated

The Rathbone Multi-Asset Defensive Growth Portfolio Fund and Rathbone Multi-Asset Dynamic Growth Portfolio Fund will have the same return target and risk budget of the ‘Balanced Strategy’ and ‘Equity Strategy’ currently offered through Rathbones’ MPS (Managed Portfolio Service). Currently, these two MPS strategies blend two of the RMAP funds, which will no longer be the case after the launch of the two new RMAPS funds.

Mike Webb, chief executive, Rathbone Unit Trust Management said: “Following significant interest in these strategies from Rathbones’ MPS clients, we decided to create unitised versions for the wider market. For investors who do not require the additional services of our MPS offering, these new funds provide cost-effective access to target return profiles which complement the existing range of multi-asset portfolio funds.

“The Rathbone Multi-Asset Portfolios have a long track record and have proven their ability to deliver returns through different market conditions.”

David Coombs, fund manager, Rathbone Multi-Asset Portfolios, said: “With the availability of these strategies in a simplified fund structure, the Rathbone Multi-Asset Portfolio Fund range now offers advisers a multi-asset suite which meets the needs of the majority of clients, from lower risk profiles to higher, providing a comprehensive market solution. In tandem with our other multi-asset funds, these will invest directly and allow a far greater universe of investments and more tools to manage risk, than traditional model portfolios.”

Past performance should not be seen as an indication of future performance. The value of investments and the income from them may go down as well as up and you may not get back your original investment.

For further press information, please contact:

Madhu Kalia
PR - Rathbones
020 7399 0256 or 07825 596302
madhu.kalia@rathbones.com

     Sam Emery/Emma Murphy
Quill PR
020 7466 5056/5054
sam@quillpr.com/emma@quillpr.com

 

Notes to editors

David Coombs
Head of multi-asset investments, Rathbone Unit Trust Management, and lead manager of the Rathbone Multi-Asset Portfolio funds David joined Rathbones in 2007 and is lead manager of the Rathbone Multi-Asset Portfolio funds. He is a member of Rathbones’ Investment Executive Committee and Strategic Asset Allocation Committee. David is responsible for developing Rathbones’ investment propositions for national financial advisory firms and networks. He has over 30 years of investment industry experience, much of it managing multi-asset portfolios. David is an associate of the Chartered Institute of Financial Services.

Will McIntosh-Whyte
Fund manager on the Rathbone Multi-Asset Portfolio funds
Will joined Rathbones in 2007 and works with David managing the Rathbone Multi-Asset Portfolio funds. Will has worked as an investment manager with institutional clients. He is a CFA charter-holder, and is a member of the Managed Funds and Fixed Income Committees. He graduated from the University of Manchester Institute of Science and Technology (UMIST) in 2006.

Craig Brown
Investment specialist on the Rathbone Multi-Asset Portfolio funds
Craig Brown is the investment specialist for the Rathbone Multi-Asset Portfolios and Managed Portfolio Service (MPS). Craig joined Rathbones in November 2018 and brings with him 15 years of financial services experience, including time with Barclays Wealth & Investment Management, and Citibank. Prior to joining Rathbones, Craig was a multi-asset portfolio manager at Beckett Asset Management, constructing a range of portfolios for discretionary clients. He is a Chartered Member of the Chartered Institute for Securities and Investment.

Rathbones’ LED Framework

The LED framework can be accessed through Rathbones’ bespoke, unitised or execution-only solutions:

Liquidity:
Assets that we expect to be easy to buy and sell during periods of market distress or dislocation, and at a sensible price, such as government bonds, high-quality corporate bonds and cash. We also may expect to see these assets be negatively correlated to equities during these periods of stress or dislocation in markets.

Equity-type risk:
Assets that can drive growth in your portfolio, including equities and other securities with a high correlation to equity markets. Along with equities, this category includes riskier corporate bonds, private equity funds, industrial commodities and alternative strategies (hedge funds) with a long bias.

Diversifiers:
Assets that can reduce or offset equity risk during periods of market distress, such as precious metals, unleveraged commercial property funds and some hedge funds.

Performance of the Rathbones Multi-Asset Portfolio Funds: 

Performance (%)

1m

3m

6m

1yr

3yr

5yr

Since inception

Rathbone Total Return Portfolio (10/06/2009)

1.97%

1.75%

0.16%

3.16%

7.50%

16.64%

75.68%

BoE Base Rate + 2%

0.16%

0.54%

1.23%

2.61%

7.94%

13.21%

31.25%

Volatility (% of FTSE Developed index [target <33%])

-

-

-

37.48%

34.44%

32.25%

36.58%

Rathbone Strategic Income Portfolio (01/10/15)

1.96%

-1.96%

-5.66%

-1.52%

2.66%

-

24.54%

UK CPI + 3%

0.17%

1.02%

1.68%

3.87%

15.24%

-

24.19%

Volatility (% of FTSE Developed index [target <66%])

-

-

-

63.42%

58.06%

-

58.01%

Rathbone Strategic Growth Portfolio (10/06/2009)

3.11%

1.80%

-1.95%

2.43%

10.53%

28.74%

119.51%

 UK CPI + 3%

0.17%

1.02%

1.68%

3.87%

15.24%

25.91%

74.65%

Volatility (% of FTSE Developed index [target <66%])

-

-

-

62.68%

62.62%

60.92%

61.77%

Rathbone Enhanced Growth Portfolio (01/08/2011)

4.02%

2.91%

-2.88%

3.26%

12.80%

35.61%

83.13%

UK CPI + 5%

0.35%

1.50%

2.66%

5.89%

22.09%

38.63%

78.96%

Volatility (% of FTSE Developed index [target <100%])

-

-

-

86.02%

85.72%

89.59%

95.83%

Source: FE Analytics;
Note: Performance is a combination of S-Class and R-Class shares (where S-Class was unavailable). S-Class shares were launched on 1^st October 2012. The volatility as a percentage of FTSE Developed figures are quoted using monthly data.
UK Consumer Price Inflation figures are quoted with a 1-month lag.

Rathbone Managed Portfolio Service:

Launched on 3 April 2017, the Rathbone Managed Portfolio Service (MPS) consists of six actively managed strategies, designed to preserve and grow wealth over the long term.

The six strategies, which suit different risk and return objectives, have been risk-rated by Distribution Technology, and invest in the Rathbone Multi-Asset Portfolio funds (‘the RMAP funds’), managed by David Coombs and Will McIntosh-Whyte.

The strategies are labelled Cautious, Balanced, Income, Balanced Plus, Equity and Equity Plus. While the ‘Income’ strategy is designed specifically to provide regular monthly income, the Cautious and Balanced strategies are also available in income versions, paying quarterly distributions. All strategies have return and volatility targets, and maintain a focus on achieving real returns.

The Rathbone Managed Portfolio Service is available to clients of Rathbone Investment Management Limited (‘RIM’) and has a minimum investment threshold of £15,000 per account. Clients receive telephone and email access to a dedicated UK-based client service team, secure messaging for client communications and trade instructions, and a comprehensive reporting package, including a year-end tax pack to help investors or their accountants complete self-assessment returns. The strategies can be held within an ISA and are available with a number of SIPP providers.

Rathbone Unit Trust Management

Rathbone Unit Trust Management Limited is a wholly-owned, London-based subsidiary of Rathbones Group plc. In 1995 and 1996 respectively, Rathbones Group acquired stockbrokers Laurence Keen and Neilson Cobbold, securing many private wealth managers, and their clients. The company also acquired unit trusts from Laurence Keen Unit Trust Management including the Rathbone Income Fund - the success of which led to a rebranding of the operation in 1999 to Rathbone Unit Trust Management Limited. Through its subsidiaries, the parent company manages £42.6 billion of client funds, of which £6.8 billion is managed by Rathbone Unit Trust Management Limited. (As at 31 March 2020).

About Rathbones Group Plc:

rathbones.com

Rathbones Group Plc, through its subsidiaries, is one of the UK’s leading providers of investment management services for individuals, charities and professional advisers. This includes discretionary investment management, unit trusts, tax planning, trust and company management, financial advice and banking services. The company has over 1,400 staff in 15 locations across the UK and Jersey
.