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Advisory vs Discretionary


We offer a broad range of services for both onshore and offshore clients, enabling us to meet the varying requirements of our clients as the financial services industry evolves. In particular, we are able to offer two different types of ongoing management for investment portfolios; a Discretionary Fund Management Service and an Advised Service. The key difference between the two types of service is the level of control you wish to retain with your financial assets.


Advisory Services

Our advisory services enable customers to maintain full control of their investments by receiving customised advice and making their own decisions on how to proceed with the given recommendations. At each review point of your plan, your adviser would get in touch to assess how your individual portfolio is performing, as well as how this aligns to your attitude to risk and personal circumstances. All advice surrounding your investment funds would be tailored to your requirements and provided directly for you to consider.

Only once your agreement has been obtained in writing would our team proceed with any changes to the portfolio, differentiating from the DFM service described below where fund changes can be made without your input. This enables you to retain control of choosing which fund recommendations you wish to proceed with and the timing of such changes, which would be processed based on receipt of your approval.

With our advisory services, you can select a package most appropriate to your situation and choose how regularly you would like your portfolio individually reviewed, whether quarterly, bi-annually or annually. Read more about our different service level options here.


Discretionary Fund Management Services

Financial markets are fast paced, with ever changing share prices, exchange rates and profits. All of these commodities can fluctuate dramatically on the smallest piece of news and therefore your investment portfolio can change just as quickly.

Keeping up with events which can have an effect on your investment portfolio is becoming ever more difficult and time-consuming. Using the services of a discretionary manager removes the headache of constantly monitoring your portfolio, as your dedicated adviser will have your approval to make decisions on what to buy and sell without seeking your instruction each time. Our expert Investment Committee will make changes to your investment allocation as and when they deem it suitable therefore being more responsive to market changes.

Your investment strategy will have been carefully created through our initial discussions to establish your objectives. Only once these have been defined would you provide us with the opportunity to optimise your portfolio moving forward, within the parameters of your attitude to risk.

If you opt for our automated DFM service, your annual agenda will be structured with quarterly updates on the progression of your portfolio and a meeting each year to ensure your targets are being achieved so your control is not relinquished.

Within each quarterly statement, any fund switches to our model portfolios will be clearly listed and commentary of the current market fluctuations that could impact your investments. The portfolio performance is compared and analysed against a recognised benchmark so you can see the benefit of our active management.


Is DFM suitable for me?

If you’re always busy and find it difficult to promptly respond to our recommendation letters, the DFM service will remove this requirement. You will receive regular quarterly updates on the performance of your portfolios and annual meetings can be arranged to ensure your aims and objectives are still being met.

Discretionary Fund Management could be relevant for those that are less experienced in stocks and shares, who would like to delegate full control of their investments and feel assured that their money is being actively managed in response to market highs and lows.

We will always discuss with you the different possibilities and how each service might impact your investments. We can create a personalised portfolio of products across both service options so you feel comfortable your investments are being managed effectively. For example, some of your products may not be suitable for our DFM service, such as if you have a large personal portfolio which could incur capital gains tax if fund switches are made regularly and therefore we might recommend keeping this product on our advisory service.

Here’s a brief recap and comparison between the two offerings, though more details can be found here;

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