REASONS WHY– WEALTHSELECT MANAGED PORTFOLIO SERVICE

This document has been compiled to provide you with some information and reasons for your client which you may wish to incorporate within your recommendation letters. These sample paragraphs are for your information and consideration only. You will, of course, need to relate the sections you select to your client’s own circumstances as they may not all be relevant. This wording has been produced to help you, as a financial adviser, draft your own material. We accept no responsibility for ensuring that it meets with your own regulatory requirements and you should arrange for approval in accordance with your regulator’s rules within your own firm.

REASONS WHY – WEALTHSELECT MANAGED PORTFOLIO SERVICETo help in the preparation of marketing material and ‘Reasons Why’ letters, we’ve prepared the following suggested factual statements to help you communicate to your clients the benefits of investing in the WealthSelect Managed Portfolio Service.

ABOUT THE WEALTHSELECT MANAGED PORTFOLIO SERVICEThe WealthSelect Managed Portfolio Service provides a practical and reliable solution that aims to keep your investment charges low and your investments on track to achieve their aims, without you having to be involved in regular fund reviews.

ACTIVE MANAGEMENT You can be reassured that your investments are being constantly monitored and actively managed by experts to help ensure it meets its objectives.

HIGH QUALITY FUNDSThe funds used to construct our Managed Portfolios are continually monitored by a team of investment experts at Quilter Investors. The funds selection is based on the Quilter Investors team’s decades of experience working with all the major fund companies.

KEEPING YOU INFORMED Once you invest in a Managed Portfolio your financial adviser will provide you with high quality, quarterly reports that present your portfolio information clearly. You’ll also find it easy to track the performance of your investments online, so you’ll always know where you are with your investment.

VALUE FOR MONEY Because of the preferential rates that have been negotiated with the managers of the fund groups, these high quality, actively managed investment solutions are available to you at very competitive rates.

ABOUT GLOBAL PARTNERSThe fund groups chosen to manage money within WealthSelect are all recognised as leading investment houses. They offer a broad range of high-quality strategies across different asset classes, sectors, and geographies. They are home to some of the world’s most well-known fund managers and are rightly renowned for their exceptional capabilities when it comes to managing client money.

FOR FINANCIAL ADVISERS ONLY

ABOUT QUILTER INVESTORSThe portfolio manager is supported by the Quilter Investors investment team. They meet formally on a weekly basis to discuss performance, macro views, and share insights as well as regularly discussing and analysing the Managed Portfolios.

Quilter Investors have built a formidable reputation for their capabilities in multi-asset investing, and have one of the most experienced teams in the field.

IDENTIFYING THE BEST MANAGERS The Quilter Investors Fund Research team is responsible for identifying and researching the strategies from fund managers. As part of this process, the team will consider a manager’s philosophy, their process, their people, and their performance.

When validating and assessing current managers and screening for new ones, the team of ten analysts undertake over 17,000 hours of fund research every year using a myriad of analytical applications, proprietary tools, and technical models.

However, nothing can replace face-to-face contact, so they attend over 1000 meetings a year. This interaction remains integral to the process of monitoring existing strategies and adding new ones.

ASSET ALLOCATION The Managed Portfolios use a disciplined, long-term asset allocation approach designed to maximise the potential return for an expected level of risk. They are designed to offer diversification at multiple levels, investing across global markets, both developed and emerging, and via managers with different styles and approaches.

The portfolio managers combine inputs from industry-leading providers of asset allocation research with their own in-house research to build the optimal portfolios. The process is structured but also allows the portfolio managers discretion to manage the portfolios as they believe is appropriate to achieve the best outcome for the investors, in line with the objectives of the individual portfolios.

The strategic asset allocations for the portfolios are based on output from an asset allocation model developed with and supported by Willis Towers Watson, a leading investment consultancy firm. There are a number of factors which go into building optimal asset allocations, including assumptions about expected returns for each asset class, their expected volatility, and the correlation between these assets over the long term (10 years).

GOVERNANCEWe recognise that the safety and security of your money is of paramount importance. Old Mutual Wealth has ensured they have robust governance in place.

OLD MUTUAL WEALTHOld Mutual Wealth is responsible for the formal regulatory oversight and providing the Managed Portfolio Service. For ISA and Collective Investment Account (CIA) the legal entity that provides the service is Old Mutual Wealth Limited, and for Collective Investment Bond (CIB) and Collective Retirement Account (CRA) the legal entity that provides the service is Old Mutual Wealth Life & Pensions Limited.

OLD MUTUAL WEALTH INVESTMENT OVERSIGHT COUNCIL (OMWIOC)Including two independent external advisers, the council advises and makes recommendations to ensure the Managed Portfolio Service is performing as intended; investment decision-making processes are robust; appropriate risk management is in place; and any conflicts of interest are managed.

QUILTER INVESTORS LIMITEDThey are obliged to ensure the managers appointed to run the funds are suitable individuals and able to deliver to the funds’ objectives.

REPORTINGYou will receive an extensive quarterly report on your portfolio either by post or via email keeping you informed of the performance of your investment. You can choose how much involvement or information you want.

The quarterly report will tell you the latest value of your investment and also inform you of any changes made to the portfolio during the past quarter. It will provide you with commentary from the portfolio manager and include a brief commentary on the market events during the past quarter.

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The value of your client’s investment may fall as well as rise and they may not get back what they put in.

This document is based on Old Mutual Wealth’s interpretation of the law and HM Revenue and Customs practice as at October 2019. We believe this interpretation is correct, but cannot guarantee it. Tax relief and the tax treatment of investment funds may change.

www.oldmutualwealth.co.uk Please be aware that calls and electronic communications may be recorded for monitoring, regulatory and training purposes and records are available for at least five years.

Old Mutual Wealth is the trading name of Old Mutual Wealth Limited which provides an Individual Savings Account (ISA) and Collective Investment Account (CIA) and Old Mutual Wealth Life & Pensions Limited which provides a Collective Retirement Account (CRA) and Collective Investment Bond (CIB).

Old Mutual Wealth Limited and Old Mutual Wealth Life & Pensions Limited are registered in England and Wales under numbers 1680071 and 4163431 respectively. Registered Office at Old Mutual House, Portland Terrace, Southampton SO14 7EJ, United Kingdom. Old Mutual Wealth Limited is authorised and regulated by the Financial Conduct Authority. Old Mutual Wealth Life & Pensions Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Their Financial Services register numbers are 165359 and 207977 respectively. VAT number 386 1301 59.

Quilter Investors is a trading name of Quilter Investors Limited. Authorised and regulated by the Financial Conduct Authority with FCA register number 208543. Registered in England & Wales under number 4227837. Registered office: Millennium Bridge House, 2 Lambeth Hill, London, England, EC4V 4AJ.

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