What you need, expect and are comfortable with are not always the same, so if the return required is unrealistically high for the acceptable risk, some form of risk/return trade-off will be needed – i.e. either to increase the level of risk in the portfolio, or adjust the objectives downwards.

• The first stage of our process is to determine how much risk you are prepared to accept, since this will ultimately determine what rate of return it is reasonable for you to expect.
   
• We then compare this against the rate of return required to meet your objectives.

The risk profile questionnaire generally takes less than 15 minutes to complete.

We will discuss the test results with you, both to expand on the information provided by the test and to agree the risk profile indicated by the results of the test.

Once the risk profile is agreed we can then look at asset allocation.

• Asset Allocation is a method of investment planning that aims to maximize the return for any given level of risk, or reduce the risk for any given level of return, by allocating monies to different types of asset in suitable proportions.

• It is based on observations showing that different asset classes have very different typical patterns of returns and price variations over long periods of time.
  
  
• Asset allocation matters as different types of investment perform in different ways. In very general terms, investments carrying more risk, such as equities, should provide the best returns over the long term, but they will also be the most volatile.

• Combining different types of investment via asset allocation in a portfolio can help to even out these swings in value; especially if they are "non-correlated" (i.e. their prices move independently). This is why it usually makes sense even for growth investors to have some exposure to bonds and cash, even though their long term potential is less than that of equities.

IDFM use a range of Asset Allocation models to provide targets for the portfolios of our clients.

Once the correct asset allocation has been determined funds are selected to meet the asset allocation.

The funds are screened using the following process:

• Approved by Sesame Research department
• Consistent fund performance in sector supported by high ranking with fund assessment agencies such as :
• Citywire
• Funds Library
• Standard & Poors
• OSBR
• Morningstar
• Trustnet
• Portfolios can use a mixture of active and passive funds to achieve the overall asset allocation.
• Our firm selects funds from the ‘whole market’

We believe our approach to ‘Asset Allocation’ could be of immense benefit for you and your family so please contact us to arrange a Discovery Meeting with a Planner.

Financial advice goes beyond selling a product or providing the initial advice.

• Advice is perishable – even if it is the best possible advice at the moment it is given, its value will be eroded over time as a result of changes to legislation, tax law and investment markets and developments in client circumstances.
• At the core of our advice process is working with clients – hopefully over a lifetime – to continually ensure their affairs are in order, based on the financial and legislative conditions at the time.
• Modern day life is too busy and complex to operate without some sort of ‘ongoing advice’.  Investment options, legislation and tax mitigation techniques are constantly evolving. Without ‘ongoing service’ it is not possible to keep pace with these changes.
• Only by reviewing your circumstances proactively and regularly, can you stay on top of the issues and address your needs and aspirations.
• Only by engaging in an ‘ongoing service’ can our firm deliver the highest possible value over time.
• As with physical health, the key to good financial health is to follow a simple programme and have regular check-ups to ensure everything is working as it should.

At IDFM (City) Ltd we believe that professional financial advice can add significant value to individuals and businesses. It is because of this belief that we provide a comprehensive ongoing review service designed to create real value for our clients.

As your partner in building wealth and security, we focus on ways that we can help you to live the life that you want to live. By engaging IDFM (City) Ltd you assure yourself of regular financial checkups and access to new ideas brought to you by the IDFM (City) Ltd team.

Take your time, choose wisely, and we hope that we can earn the right to work with you into the future.

12 Point review

Value For Money