Putting It Into Practice

The my wealth process has the scope to meet the needs of different investors and it can constantly adapt as those needs change. As part of the service, we will regularly review your investment strategy to ensure it still matches your current objectives, time horizon and risk profile. We will then revise the elements accordingly, discussing any major changes with you.

See the following examples:

Sarah – aged 45 and seeking adventurous growth

shutterstock_662094157_feature

Profile: Sarah is relatively young and has a long term investment horizon. As she is working and doesn’t need to generate an investment income yet, she wants to pursue an adventurous strategy that can help her to maximise her capital growth potential.

Investment strategy

Sarah’s portfolio is focused on our adventurous longer term growth option. Exposure to specialist investments such as smaller companies and emerging markets. The aim is that in the longer term growth element will help Sarah to maximise her growth potential.

Simon – aged 55 and looking to reduce risk

shutterstock_165823088_feature

Profile: Because Simon is closer to retirement, he has less tolerance for risk than Sarah. He still wants to achieve strong capital growth – but he also wants to guard against extreme investment volatility

Investment strategy

Simon’s portfolio is focused on generating capital growth but as he wants to reduce risk, it uses the balanced longer term growth option. This invests in main stream UK and overseas equities, with some exposure to bonds to provide stability.

Gordon – aged 65 and seeking income

shutterstock_136749182_feature

Profile: Having just retired, Gordon’s priority is to deliver a reliable income that can supplement his pension. He also wants to ensure that he is not taking a large amount of risk with his capital.

Investment strategy

A high proportion of Gordon’s portfolio is invested in the ongoing income element of our investment system. There is also a small day-to-day cash element from which Gordon can meet his short term expenditure. However, as Gordon may need to generate an income for 30 years or more, it is vital that his capital has the opportunity to continue to grow so he can keep up with the rising cost of living. Around a third of his portfolio is therefore invested in the longer term growth element of our investment system, using the balanced option.

Gordon

Mary – aged 75 and risk-averse

shutterstock_421316674_feature

Profile: Mary is well into her retirement and needs to maximise income first and foremost. She also wants to ensure that her portfolio matches her very low tolerance for risk. However, she knows that she still needs to retain some potential for capital growth.

Investment strategy

To deliver the income and stability of capital that she needs, a large proportion of Mary’s portfolio is held in the ongoing income element of our investment system. There is a small cash element from which Mary can meet short term expenditure.

To provide some opportunity for capital growth, the remainder of her capital in the longer term growth element, using the cautious strategy to reflect Mary’s low tolerance for risk.

Mary