Rathbone Investment Management

An independent review by our team of experts

Rathbones Investment Management says that you deal directly with investment managers, not salespeople or relationship managers.

Rathbone's investment analysts, compliance and back-office teams support advisers so they can take advantage of opportunities as they arise. They offer a choice of investments, spanning all asset classes, funds and wider structures that may not be open to all investors.

Rathbone Investment Management prides themselves on efficient, informative and accurate reporting. Valuations are sent quarterly – and their online service gives you access to information 24 hours a day.

Rathbone primarily has 3 offerings under their investment management services:

Multi-asset portfolios
Unitised portfolio service
Individual portfolio service

1. Multi-asset portfolios:

Rathbone Investment Management's multi-asset portfolios provide clients with access to investment resources. There are three UCITS IV funds in the range, which are available in GBP, EUR and USD (EUR and USD share classes are hedged).

They have a choice of three funds to suit investors with different objectives and appetites for risk.

2. Unitised portfolio service:

Rathbone Investment Management claims that the unitised portfolio service can offer clients a detailed and personal level of attention that you would typically receive from a discretionary portfolio. There are six strategies in the range, which invest in the multi-asset portfolios.

3. Individual portfolio service:

The individual portfolio service offers a personal level of attention as well as access to their investment resources for clients with larger sums to invest. This service is targeted at individuals and families with financial arrangements that require a tailored approach to their investment.

Rathbone Investment Management's charging structure for advisers:

The rates they offer advisers depends on the level of business they do together. The rates can be summarised below:

Partnership rate	Description
0.75% on balance over £5,000,000	Applicable for firms with more than £5m of client funds already managed by them in their unitised portfolio service and/or individual portfolio service, management fees will be reduced to a flat rate of 0.75%. For firms qualifying for their partnership rate, the use of external discretionary managers usually forms a normal part of their client investment proposition.

Standard rate	Description
Individual portfolio service 1.00% on first £2,000,000 0.75% balance over £2,000,000	Applicable for firms choosing Rathbones infrequently for their clients. For firms of this type, the use of a discretionary management firm is unlikely to be a core part of the client investment proposition.
Unitised portfolio service 0.75%

These rates can change from time to time and we would recommend checking Rathbone Investment Management's website for more information.

NOTE:

We would recommend reading the 'expert verdict' section of this independent review to learn why our experts gave Rathbone Investment Management's DFM services only 2 out of 5 stars.

Additionally, here's a free guide that can help you achieve better results. In this guide, you'll learn:

Academic evidence only shared with a select few firms across the world
A real-life example of why you should never try to outguess the market
Why a fund's past performance is not enough to predict future returns
Why you need to focus on what you can control and why this leads to a better investment experience
Why you should accept the markets for what they are
What can impact behaviour and make people seek instant gratification

The Pros

> Good online facilities

> Good administration

The Cons

> Can be expensive

> Pays retrocession commission to your adviser which can create conflict

What are the online services offered by Rathbone Investment Management?

When an adviser registers for Rathbone Investment Management's online service, they will have access to a range of portfolio information, 24 hours a day, seven days a week. This includes:

real-time valuations - gives you instant access to the value and status of your clients’ investment portfolios
secure data - your clients’ personal details are delivered safely
dedicated support - a dedicated team is available to answer any technical queries (8am-6pm Monday-Friday, excluding bank holidays).

Is Rathbone's investment process any good?

Rathbone claims that their investment process is designed to meet each client’s individual requirements, and that their investment managers have the freedom to find the best options for each client’s goals, selecting from an unrestricted choice of investments.

Rathbone also state that this “includes asset classes, funds and other structures that may not be open to all investors”.

For us, this rings alarm bells, because freedom may sound exciting but it is inherently more dangerous and risky.

As for asset classes, funds and structures that “may not be open to all investors,” we worry about liquidity and the ease of selling such investments.

Rathbone Investment Management go on to state that “not all firms give their managers this flexibility” – we believe there is a good reason for this!

Rathbone Investment Management - Individuality Brochure

Rathbone Investment Management - International Discretionary Services Rates

Rathbone Investment Management - Multi-Asset Portfolio Service

Rathbone Investment Management - Unitised Portfolio Service

Rathbone Investment Management -Individual Portfolio Service

The information in this material is intended for the recipient’s background information and use only. It is provided in good faith and without any warranty or, representation as to accuracy or completeness. Information and opinions presented in this material have been obtained or derived from sources believed by AES to be reliable and AES has reasonable grounds to believe that all factual information herein is true as at the date of issue. It does not constitute investment advice, recommendation, or an offer of any services or products for sale and is not intended to provide a sufficient basis on which to make an investment decision. It is the responsibility of any persons wishing to make a purchase to inform themselves of and observe all applicable laws and regulations. Unauthorised reproduction or transmitting of this material is strictly prohibited. AES accepts no responsibility for loss arising from the use of the information contained herein.

‘AES’ refers to the AES Group’s separate but affiliated entities generally, rather than to one particular entity. These entities are AES Middle East Insurance Broker LLC registered with the UAE Ministry of Economy, United Arab Emirates, Licence no. 571368, and Commercial Registration no. 75162 and regulated by the UAE Central Bank license no. 189; AES Financial Services Limited, incorporated and registered in England and Wales with company number 06063185, authorised and regulated by the UK Financial Conduct Authority FRN: 464494; AES Financial Services (DIFC) Ltd, registered in the Dubai Financial Centre (DIFC) as a foreign company, license no.2128, and regulated by the Dubai Financial Services Authority (DFSA) Reference No F003476; AES International Limited, a private company incorporated and registered in the British Virgin Islands with company number 1839872; AES International Global Limited, a private company incorporated and registered in the British Virgin Islands with company number 1887885. Please visit our authorisations page for further information on regulation, redress and accessibility.

If you are outside the UK and we advise you or carry out other business, nearly all the rules, regulations and arrangements made under the UK regulatory regime (including the rules made by the FCA and the dispute resolution process provided by the UK Financial Ombudsman Service) will not apply to most aspects of the service you receive, such advice or business being provided from outside the UK. You should therefore clearly understand such rights and protection as are afforded in the jurisdiction where you receive advice. Local law, regulation and redress processes will apply in almost all cases, and will be different from that of the UK.

RISKS

Investments involve risks. The investment return and principal value of an investment may fluctuate so that an investment, when redeemed, may be worth more or less than the capital invested. Past performance is not a guarantee of future results. There is no guarantee strategies will be successful. For further information, please click here.

Rathbone Plc is a UK headquartered provider of personalised investment management and wealth management services for private investors and trustees.

This includes discretionary investment management, unit trusts, tax planning, trust and company management, pension advice and banking services.

They are an independent FTSE 250 company that has been in business since 1742.

Rathbone Investment Management is regulated by the Jersey Financial Services Commission.

Rathbone Investment Management

An independent review by our team of experts

REVIEW SUMMARY