Investor control over their investments
The advantages of an investment platform for the clients of Financial Advisers are many, but the principal benefit is that as an investor they maintain control over the investments and can use the platform technology to view their investments. Tatton operates purely through financial advisers and our service operates only through the technology and custody that the investment platform provides. This means that Tatton acts as the investment manager only, which keeps our costs low helping to reduce the impact of charges on a portfolio.
Delivering our investment management service on platform means that we have successfully developed extensive relationships with the platforms we work with. This brings many operational advantages and means we fully understand the intricacies of delivering a full investment management offering on platform and have evolved our processes to be as efficient as possible.
Our portfolios are available to the clients of Financial Advisors on 18 Investment platforms:
Aligned to the investment goals, objectives and risk profiles
Managing Portfolios through an investment platform
As the investment manager, Tatton makes adjustments to our portfolios through periodic updates and rebalances. Rebalancing a portfolio is to realign investments in a portfolio to ensure they remain aligned to the investment goals and objectives and risk profiles agreed with a financial adviser that has recommended Tatton.
Whilst Tatton does not have fixed portfolio update and rebalance dates, we make changes to portfolios generally once each quarter. These changes can be small r to bring the portfolios into line with our target asset allocations or larger adjustments if we believe market conditions necessitate bigger changes. During a portfolio update and rebalance our operations team build new portfolios on each of the platforms and then trade the old portfolios into the new ones.
In 2016 we introduced the Overlay Strategy on our Managed and Core Portfolios to reduce the risk of operational delays and improve trading efficiencies. Taking the form of a fund, the investment team build portfolios on a client’s chosen platforms with half invested directly into funds and the remainder duplicated in the Overlay Strategy. We use this feature to allow us to purchase closed funds, new funds and assets that are not tradable on a platform, but can be held in a fund such as Exchange Traded Funds (ETFs) – a valuable diversification tool. It also reduces operational platform risk by allowing us to execute fund trades within an update and rebalance more efficiently.
Reliance on others
Tatton operates under the Reliance on others regulatory regime, which means we take responsibility for the investment decisions we make, rather than creating a gap between us and your client through the Agent as Client operating model.
When working with platforms we insist on having daily feeds of portfolio performance data and so can only work with platforms that meet this requirement. We cannot work with platforms that cannot make this data available to us but are actively working with platforms to ensure the widest access to you and your clients. Please contact us if we are unavailable on your chosen platform and we can explore working with them.