Charles Stanley Pan Asset’s flagship suite of ETF managed portfolios has reached its five-year anniversary, with each of the original portfolios posting solid risk-adjusted performance numbers (see chart below).

Christopher Aldous, Managing Director of Charles Stanley Pan Asset.

Collectively known as the PanDynamic model portfolios, the original line-up comprises the PanDefensive, PanBalanced, PanGrowth and PanAggressive model portfolios.

Each of the model portfolios in the suite has been specifically created to match clients’ varying risk appetites based on Pan Asset’s dynamic asset allocation process primarily using index-tracking exchange-traded funds (ETFs).

Following the initial roll-out in 2009, three additional model portfolios have since been added to the suite offering cautious balanced, moderate growth and income exposures, as well as two multi-asset funds.

Model portfolios, including ETF-centric models commonly referred to as ETF managed portfolios, are increasingly gaining traction with independent financial advisers. A large part of their appeal is that they enable IFAs to retain full control of the client account and responsibility for the relationship while outsourcing day-to-day management of client money to qualified investment professionals focused on the big picture. Custody and dealing services are provided by a wrap platform. In Pan Asset’s case, these include Ascentric, Transact, Novia and Nucleus.

Commenting on the five-year milestone, Christopher Aldous, Managing Director of Charles Stanley Pan Asset, said: “The fifth anniversary of the PanDynamic model portfolios is an impressive milestone and we are very proud of the portfolios’ long-term performance across the risk spectrum. Our passion to deliver low-cost model portfolios and keep investment simple seems to have really struck a chord with the adviser industry – with new firms signing up each month.”

John Redwood, Chairman of the Investment Committee at Charles Stanley Pan Asset, added: “The PanDynamic range readily established itself in the market five years ago and has been steadily increasing in popularity ever since – testament to the consistency and strength of our proposition. We index what we can to keep the costs down, and make investment decisions where we have to. The choices one makes about whether to hold shares or bonds or other assets are the crucial ones that determine the bulk of the money which is made, or lost. As a result, these are the areas we concentrate on and this is where our processes have proved successful.”

PanDynamic Model Portfolios