The Falco Model Portfolio Suite consists of eight risk-graded fund portfolios which we believe will offer clients the best that the whole of the market has to offer in line with your chosen level of risk. Obviously no one can precisely predict future market performance, but we base our advice on what we believe are the best available options at any given time for each client.
There are no financial or other incentives for us to select any specific product, provider or fund; we put together these model portfolios entirely independently. This is the benefit of working with an IFA (Independent Financial Adviser). We are driven by what is best for our clients.
The eight portfolios are each made up of a mix of asset classes such as shares, bonds, cash and property, and are created to operate within set boundaries for risk tolerance.
Where actively-managed funds are selected, we like to see:
a high risk adjusted performance over a long time period (typically demonstrated by a manager’s sortino ratio over 10 years)
Competitive charging structure
High Conviction portfolio (i.e. not too many holdings)
Low portfolio turnover
A logical stock picking strategy (i.e. Quality, Value, Momentum (in fundamentals))
Alignment of interests between fund manager and investor i.e. the fund manager has put a significant percentage of their own wealth into the fund
Hedge Funds & Absolute Return funds are not used, as in our view these fund types have generally not delivered over the long term
Where passive (tracker) funds are used, the cost and tracking error (i.e. how closely they track the market) are key indicators.
Financial Strength is a concern for both active and passive funds.
Falco has eight Model Portfolios to choose from, they are split into two distinct strategies. The passive portfolios focus soley on index tracking funds that are very low cost and aim to deliver market average performance at a very low price. The regular model portfolios use a blend of actively managed and passive funds. These blended portfolios are more expensive due to the inclusion of actively managed funds.
Falco Moderately Cautious
Falco Balanced
Falco Moderately Adventurous
Falco Adventurous
Falco Moderately Cautious Passive
Falco Balanced Passive
Falco Moderately Adventurous Passive
Falco Adventurous Passive
Please contact us to discuss these further – please note this service is designed for portfolios in excess of £150,000.