IoM’s Hansard and Fidelity co-launch risk analysis tool for advisers
Hansard International, the Isle of Man-based financial services business, has launched a new online tool to help financial advisers analyse retail clients’ attitude to risk, it was announced today.
The software has been developed in association with global asset manager Fidelity International, whose portfolio of products are available through Hansard.
The tool works by asking the client ten very straightforward questions that will paint a picture of their attitude to risk when it comes to investment.
The answers will generate a risk score, with six different profiles in which the client will be placed, with one completely risk-averse or “cash only”.
Each of the five other profiles, or score groups, is linked to a Hansard International Fidelity model portfolio with varying degrees of risk.
Gareth Maguire, head of propositions and marketing at Hansard International, said: “Our goal was to develop a solution that cuts through the complexity of the many other tools on offer, whilst providing a menu of funds managed by one of the world’s biggest and best asset management groups.
He added that he was “extremely confident” that the adviser community would agree that the new tool has delivered on this.
Hansard pointed to the fact that the portfolios offered were selected by Fidelity’s multi asset team, ensuring consistency across the portfolios when comparing a client’ attitude to risk, something that is not necessarily the case when comparing similar tools that provide access to portfolios from multiple providers.
International Investment tried the tool and within two minutes had generated the following attitude-to-risk score, which put us in the slightly above average in terms of our tolerance of risk:
This matched our attitude-to-risk score with Fidelity’s HIL Fidelity Growth USD portfolio, which splits investment 60/40 between equities and bonds, and is suitable for investors who are looking for long-term growth and accept fluctuations in investment value due to a higher exposure to equities:
To try the test for yourself, answer the questionnaire on the Hansard website.