Client and business benefits driven by managed portfolio adoption: A case study

For more than 30 years, leading financial services provider Australian Financial Advisers (AFA) invested with a mainstream managed fund provider and its platform. However, following the Royal Commission, the business reconsidered its licensing and investment arrangements and reinvigorated its offer in the process.

According to Managing Partner of the Darwin office, Dwayne Hameister, following the Royal Commission, AFA took the opportunity to check in with some of their clients who had not been fully engaged and let them know how the financial planning business had been re-engineered.

In 2019, the business moved to its own AFSL and 12-months later enlisted asset consultancy firm Evidentia Group to provide dynamic asset allocation and active management. It also included tailored managed portfolios on its AFA investment list.

Evidentia’s role was to ensure the investment portfolios aligned with client goals and to complete any of the necessary underlying investment adjustments. It did some of the initial analysis which the advisers did not have time to do and gave the business a compelling investment narrative.

“This provided a solid and appealing story to share with clients around how the business selects investments and moves away from any discussion around ‘I can beat the market’,” said Hameister.

The business now had a clear investment philosophy aligned at the individual client level and which was backed-up with research.

Read our full Managed Portfolio Case Study here.