Video ID:
9155
Job Number:
7271
Meta
Description:
Mickey Morrissey provides and overview of Smith & Williamson's DFM and Guided Architecture capabilities.
Bookmarks:
0|DFM & Guided Architecture
23|Pooled funds
49|Differences
89|Top rated service
114|Personal expertise
135|DFM proposition
157|Segmented client base
189|Guided architecture
219|A success?
236|Post RDR
265|Resources
300|Regional presence
321|Outlook
361|To find out more
378|Website address
387|Why Smith & Williamson?
Duration:
00:07:25
Recorded Date:
9 April 2013
Video Image:
Transcript:
Presenter: To talk about DFM and their guided architecture capabilities, we are joined by the Head of UK IFA Sales at Smith & Williamson, Mickey Morrissey. Mickey, Smith & Williamson is well known for its pooled funds business, why have they bought you in?
Mickey Morrissey: Well, absolutely right, the pooled funds business, particularly in the last few years, has become much better known. However the firm is a private client investment management business, which has been going for a long time, and this is an opportunity, a great opportunity to build the private client side through the intermediary market, which is why I have joined.
Presenter: So from your point of view, what makes Smith & Williamson different from all the other investment managers out there?
Mickey Morrissey: Smith & Williamson has been around a very long time. It
is a large private client investment management business with nearly £14 billion of assets under management. The company has very low staff turnover, managers own the majority of the shares of the company, and we have tremendous performance track record, as shown by Asset Risk Consultancy. For the last three years, we have won the Citywire Large Wealth Management Award, 2010, 2011, 2012.
Presenter: IFAs also require good service. What can you say that proves to IFAs that Smith & Williamson offers top rated service?
Mickey Morrissey: If an intermediary introduces a client to Smith & Williamson, they get service from the actual portfolio manager, as well as back up from their assistants, so they have direct access, which is not necessarily the case supplied by all DFMs.
Presenter: So what do you bring to the party?
Mickey Morrissey: I have spent 25 years looking after the intermediary market in the UK, and I have a lot of strong connections that go back a long way as a result, and I think that it was being able to tap into some of my relationships and knowledge of the IFA market in particular that was attractive to Smith & Williamson.
Presenter: Tell me more about the Smith & Williamson DFM proposition.
Mickey Morrissey: Traditionally, we look after a lot of private client money for clients with £250,000 or above to invest in a sort of tailored bespoke service, and that is the bulk of the business that we currently run, and we are looking to expand that through the IFA market.
Presenter: Most IFAs will have segmented their client base before RDR, what specific segments of IFA clients are you looking for?
Mickey Morrissey: Well we have two services available. The discretionary fund management that I mentioned earlier, the bespoke, it is for the high net worth clients of the intermediaries. But we also have a guided architecture service available, pooled portfolios, risk rated from three to eight, that are now also becoming available to the IFA market.
Presenter: Tell me more about the guided architecture capabilities that you have.
Mickey Morrissey: Last year we launched a series of guided architecture portfolios from risk rated three to eight, via Verbatim, part of the SimplyBiz Group. The intention is to roll these out to the wider IFA market over the coming months. We have a team that has a tremendous capability looking after these portfolios, and with a lot of potential to grow even more so.
Presenter: So that has been successful for you up to now?
Mickey Morrissey: The launch was not that long ago, however the first sign is that the performance of the portfolios has been extremely good, and so we are very confident of that continuing and becoming a very important part of our business in the future.
Presenter: How do you see the IFA market developing post RDR?
Mickey Morrissey: I think there has been a massive change because of RDR. IFAs are less likely to be picking individual funds as they have over the last ten to 20 years, and we are already starting to see that through some of the information coming from platforms, suggesting that much more business has been placed through discretionary fund managers. I think that is on the increase and will continue to increase over the next few years.
Presenter: What resources will Smith & Williamson be putting behind this area?
Mickey Morrissey: We have a specialist team that already look after the guided architecture portfolios which I mentioned earlier. They have a tremendous track record in terms of number of years of managing client money. We also have obviously the established portfolio managers who look after the bespoke discretionary fund managed portfolios, and we are beefing up the sales and marketing team to be able to cope with an expected increased level of business.
Presenter: And what about your regional presence?
Mickey Morrissey: Well we have offices currently in Northern Ireland, Glasgow, Birmingham and Bristol, and each of those offices are therefore able to service their local areas, and working in conjunction with them we expect to increase the amount of assets coming into their offices from the local IFAs.
Presenter: Imagine yourself two or three years down the line, Mickey, what would you hope to have achieved?
Mickey Morrissey: I think first and foremost I would like to see the brand awareness of Smith & Williamson having increased dramatically through the IFA market. It has a fantastic background in running private client portfolios, but it is not as well-known perhaps as it should be. So that is my first aim, to raise the brand awareness, and secondly then to be able to give access to IFAs for clients, whether they be small through the guided architecture space, or large though bespoke discretionary private client portfolios, the opportunity of accessing what is a fantastic business.
Presenter: And if people want to know more, what should they do?
Mickey Morrissey: I think they should first and foremost go onto our website and look up what we have to offer, and secondly to contact me, and I would be delighted to meet and speak to any intermediary who would like to hear more about Smith & Williamson and what we have to offer.
Presenter: Just remind us what that website address is.
Mickey Morrissey: The address is www.sandwdfm.com, and you will find my contact details through the website.
Presenter: So in summary then, why should IFAs consider Smith & Williamson today?
Mickey Morrissey: Smith & Williamson has been one of the best kept secrets in the private client world, and now is the first opportunity for the IFA market to be able to access these award winning capabilities.
Presenter: Mickey Morrissey, thank you very much indeed.
Mickey Morrissey: Not at all, thank you very much.
Important Information and Disclaimer:
Risk warnings
• Investment does involve risk. The value of investments can go down as well as up. The investor may not receive back in total the original amount invested.
• Past performance is not a guide to future performance.
• Rates of tax are those prevailing at the time and are subject to change without notice. Clients should always seek appropriate tax advice from their financial adviser before committing funds for investment.
• When investments are made in overseas securities, movements in exchange rates may have an effect on the value of that investment. The effect may be favourable or unfavourable.
• Investing in alternative assets involves higher risks than traditional investments and may also be highly leveraged and engage in speculative investment techniques, which can magnify the potential for investment loss or gain.
• Investments in emerging markets may involve a higher element of risk due to political and economic instability and underdeveloped markets and systems.
• Please note that bond funds may not behave like direct investments in the underlying bonds themselves. By investing in bond funds the certainty of a fixed income for a fixed period with a fixed return of capital are lost.
• Shares in AIM companies are likely to be high risk and volatile. Their value, and the income arising from them, may go down as well as up, and there is the possibility that investors could lose their entire investment. Shares in an AIM company may be illiquid and it may be difficult or impossible to sell them. Investors should take independent investment and taxation advice regarding AIM investments and qualifying tax relief, which can be provided by Smith & Williamson.
• In relation to any guided architecture investment options, Smith & Williamson Investment Management is unable to assess or provide advice on the suitability of any product or service for individual circumstances. No consideration has been given to the suitability of any investment or service for the particular needs of any recipient. SWIM will not be responsible to any other person for providing the protections afforded to retail investors or for advising on any investment as a result of using this service.
Smith & Williamson and Asset.tv Ltd accept no liability for any loss arising from the use hereof nor make any representation as to their accuracy or completeness. Any underlying research or analysis has been procured by Smith &
Williamson for its own purposes and may have been acted on by Smith & Williamson or an associate for its or their own purposes. Smith & Williamson Investment Management Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.
Ref: 411/2013/db
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