Evelyn Partners has launched its “Cash & Cautious” bond strategy into the financial adviser market.
The active discretionary portfolio management service invests in a bespoke and fully flexible selection of liquid, high-quality and low-risk cash-adjacent securities and shorter-dated bonds with the aim of beating the returns available on cash accounts.
Bespoke Cash & Cautious bond portfolios, which were first made available to Evelyn Partners’ direct clients two years ago, offer greater diversification than many existing near-cash strategies and gilt ladder services on the market, incorporating not only cash deposits, money market instruments and gilts, but also bonds issued by selected global organisations with strong credit ratings.
The portfolios can be tailored to individual clients’ timescales and drawdown needs, while also offering the potential for tax-efficient returns. The strategy is being made available to the adviser market with an ongoing fee of 0.15% pa covering both portfolio management and custody.
Matthew Spencer, Head of Intermediaries at Evelyn Partners said: “Savings accounts are already seeing reduced returns, and with central banks expected to continue to cut benchmark rates, as we saw last week with the latest reduction by the Bank of England, this is set to continue.
“There’s a window of opportunity for financial advisers to lock in elevated short-term bond yields for their clients as part of a diversified and low-risk strategy.”
