investing with Old Mutual wealth
YOUR FINANCIAL JOURNEY
COntents
3
Welcome to Old Mutual Wealth.
You may have heard of us already
or, if you’re new to us, it’s likely
that you were introduced to us by
your financial adviser. You can only
invest with us through a financial
adviser as we believe that you can
best achieve your goals by receiving
professional advice.
YOur adviser
YOu
The way we do things is based around the principle of a three-way relationship between you, your adviser and Old Mutual Wealth. The better your financial adviser understands your needs, the more chance they have of recommending the right course of action, so it can be advantageous for you to develop a close working relationship with them. Once they have a detailed understanding of your needs, they will provide advice on the way to achieve your goals.
If you wish, they’ll then continue to monitor the performance of your chosen investments over time, giving you regular updates and recommending any changes that may be necessary as your needs, and the market, change.
yOu and
Quite simply, we provide first-class
methods and support to enable
you to make your financial goals
achievable. We do this by giving you
and your financial adviser workable
solutions to meet your needs.
a stROng and stable baCking fOR yOuR investMent
When you invest you want to know your money is being well looked after. The more financially secure and established a company is, the less chance there is of it being unable to meet its financial liabilities.
You can be reassured that Old Mutual Wealth is a well-run, successful company, which has the financial backing of a large parent company.
Old Mutual Wealth is a leading retail investment business that provides a range of financial products such as ISAs, bonds, pensions and life assurance. These products are underpinned by a choice of investments and ways to monitor and manage them online, with the help of your financial adviser. Old Mutual Wealth provides relevant solutions for real customer needs with the simple aim of helping you get where you want to be, wherever you are on your financial journey.
Old Mutual Wealth is owned by
Old Mutual plc, one of the largest financial services companies in the world. Founded in 1845 and based in London, Old Mutual is a FTSE®100 company overseeing £297 billion in customer investments for 16 million customers worldwide (as at 31 March 2014).
hOw dOes
5
find Out MORe:
Whatever you want to achieve,
Old Mutual Wealth provides simple
ways to create solutions for your
individual investment needs.
Our investment solutions are designed to give you and your financial adviser the power to determine an investment formula which is right for you, based on your long-term goals, circumstances and attitude to risk.
We put you in control by letting you see all your investments in one place and helping you understand the strategy that lies behind them – so you can plan for the future you want, not just hope for the best.
i want the
power to take
control of
my financial
future
i want to
understand how
my investments
work and how
much they cost
7
One of your key objectives is likely
to be to maximise the growth on
your investments during the years
that you have an income – then
to ensure you have the flexibility
to use the proceeds in a way that
suits you, while your investments
continue to work for you.
hOw aRe MOdeRn
investMents MORe flexible?
Financial services used to be dominated by ‘products’ that promised to deliver an outcome at the end of a given term. There was little opportunity to change investments or structure during the investment term. The new model for investing recognises that your aims and attitudes to risk change over time; so it makes it easy for you to move funds quickly and for minimal cost. It allows you to do this without compromising on choice and flexibility of the funds available.
yOuR visiOn
OF THE FUTURE
find Out MORe:
Please visit www.oldmutualwealth.co.ukdifferent investment products – such
as pensions, isas and bonds – are
used to achieve different aims,
which usually relate to the way they
are treated for tax. Yet they all have
one thing in common: they provide
a way for you to invest in your
chosen funds. it’s the performance
of these investment funds that will
ultimately dictate how much profit
or loss you will make.
depending on what they invest in, funds are categorised under a number of major asset classes. different types of assets will perform better or worse in different situations.
wheRe tO invest?
Before deciding where to invest your money, it is important to determine your attitude to investment risk. Your financial adviser will measure your investment risk profile by means of a questionnaire and use that rating as the basis on which to build a portfolio to match your expectations.
One of the best ways to manage risk is through diversification – in other words, spreading your investment between different asset classes. That way, if one of your investments is underperforming, its losses can be balanced by gains from another.
The beauty of investing with Old Mutual Wealth is that, while you and your financial adviser can manage your whole portfolio centrally, you still have access to more than 1,000 funds and over 100 external investment houses in a variety of sectors. Funds to power your Old Mutual Wealth investment are available through two ranges: wealthselect or selfselect.
When choosing the right route for you, your adviser will consider things like:
• How much involvement do you want in your investment?
• How cost-conscious are you?
• How much choice do you need?
find Out MORe visit:
www.oldmutualwealth.co.uk to read more about ‘investing the Old Mutual wealth way’.gROwing
9 A hand-picked range of around
60 funds
from 12 high quality and well-known fund managers.
Access to
1250
+
funds
across all the major asset classes.
wealthSELECT
selfSELECT
Your portfolio can be constructed by your adviser using handpicked funds from the WealthSelect range. Alternatively, our actively
managed, risk-targeted Managed Portfolio Service is available at no extra cost.
SelfSelect provides access to a wide range of funds so your adviser can create a bespoke portfolio which is appropriate for your needs,
with plenty of choice in every sector.
Our packaged solutions, available through both the wealthselect and selfselect ranges, are designed to address a specific investment need within a single fund.
spectrum funds
are designed to maximise the returns you receive for the level of
risk you’re willing to take.
generation funds
are designed for those who wish to take an income, either now
or in the future. FuNds pOrtFOliOs paCKaGed sOlutiONs foundation funds
are designed for cost-conscious investors seeking targeted,
Old Mutual wealth is
backed by a
financially-strong, ftse
®100 parent
company. Our robust
online technology has
been built to meet
investors’ needs today
and in the future.
the easiest way to gain control
over your fund-based investments
and ensure they can be monitored
effectively is by consolidating them
all in one central place. When you
invest with Old Mutual Wealth,
you can access all your investments
quickly and easily.
Holding all your investments in one secure place gives you and your adviser a sound base from which to make your investment decisions. You can enjoy access to a wide choice of funds, and a range of tax-efficient ways to hold them, in a single location. Managing your investments online, in one place, means:
• you can hold and manage all of your fund-based investments in a single, easily accessible location
• you and your financial adviser can view and control all your investments as one in a range of tax-efficient products
• you can easily access valuations, give investment instructions and perform all other portfolio management activities
• you can track performance, react to changes in the market and switch between funds quickly and with no switching charge.
All investment involves risk and the value of your investments can fall as well as rise.
yOu’Re
11
wORking
FOR YOU
Your investment should work for
you, rather than the other way
round. When you invest with
Old Mutual Wealth you benefit
from the expertise of investment
professionals who are dedicated to
managing your money. We bring
these experts together to make the
process of investing simple and
straightforward.
Old Mutual wealth
• Giving you and your adviser access to online tools to set up and monitor your investment
• Processing your instructions and transactions
• Sending you valuations and statements
• Making changes to your portfolio when requested
fund ManageRs
• Managing the funds you invest in
• Adhering to the fund’s investment mandate
• Ensuring the fund matches its risk profile, where applicable
yOuR finanCial adviseR
• discussing and agreeing with you your objectives and risk level
• Making investment recommendations
• Providing you with performance updates
• Reviewing your financial circumstances
You can invest in your chosen
funds through a range of financial
products:
COlleCtive RetiReMent aCCOunt
The Collective Retirement Account is one of the best pension schemes available in the UK. It offers the opportunity to accumulate savings while enjoying certain tax benefits. It also provides flexible ways to take retirement benefits, all within the same account.
individual savings aCCOunt (isa)
An ISA is one of the most tax-efficient methods of investing, whether it’s in a lump sum or regular amounts. Your Old Mutual Wealth ISA can be invested into many different funds, allowing you to choose where you want to invest and how much risk you want to take. From 1 July 2014, your ISA can hold cash, stocks and shares or a combination of the two.
COlleCtive investMent aCCOunt
The Collective Investment Account is a convenient way for you to hold a wide range of unit trusts. This account is often used by investors who have used up their annual ISA allowance.
COlleCtive investMent bOnd
This provides a flexible method of investing in funds, with the potential for growth over the medium to long term. You can, if you wish, take regular withdrawals. The Collective Investment Bond also has certain tax advantages including arrangements for reducing inheritance tax.
The Old Mutual Wealth ISA and Old Mutual Wealth Collective Investment Account are provided by Old Mutual Wealth Limited. The Collective Retirement Account and Collective Investment Bond are provided by Old Mutual Wealth Life & Pensions Limited.
Old Mutual Wealth Limited and Old Mutual Wealth Life & Pensions Limited are part of Old Mutual Wealth.
yOuR
BUILdING BLOCKS
13 When you make an investment there are
three main parties involved, in addition to you as the investor:
• Your financial adviser.
• Old Mutual Wealth, the provider of your account or bond.
• The managers of the funds you choose for your account or bond.
Charges or fees are usually payable to each of these parties for arranging and managing your investment. Their separate roles, and how their charges or fees are calculated and taken, are explained in a document called ‘Making the cost of investment clear’. Please ask your adviser for a copy.
Old Mutual wealth’s ChaRge, as the pROvideR Of yOuR aCCOunt OR bOnd
individual savings accounts (isa) and Collective investment accounts (Cia) When you invest in an ISA or CIA, we deduct a Service Charge from your account. The Service Charge is for providing and servicing your account and giving you direct access to invest in a range of funds.
Collective retirement account (Cra) and Collective investment Bond (CiB)
When you invest in a CRA or CIB, we deduct a Product Charge from your account or bond. The Product Charge is for providing and administering your bond or pension product, through which you can invest in a range of funds.
the MORe that’s invested - the lOweR the ChaRge Rate
You can benefit from having more than one investment with us because we look at the combined value of all of your investments in determining the charge rate you pay and then apply that rate to each of your investments. You can also request ‘client-linking’, which will take into account the combined value of the investments you and your spouse/civil partner hold directly (or in some cases indirectly) with Old Mutual Wealth at the time the charge is made. Your financial adviser will be able to help you with this.
find Out MORe:
Full details, including the levelof our charges, can be found in ‘Making the cost of investment clear’. Please ask your financial adviser for a copy.
the COst OF
with yOu
FOR LIFE
to achieve the things you’ve
planned, it’s important that your
investments work for you now and
throughout your life. Your financial
adviser will assess numerous factors
in recommending a suitable solution
based on your individual situation –
such as your needs, your aims and
the balance of risk and reward you
are comfortable with.
15
Range of products: ISA, pension and bond
Quick and easy fund switching
Superior customer service
Specialist tax, technical and product
support for your adviser
A complete suite of fund performance monitoring
and portfolio management tools
Over 1,250 funds from leading fund managers
across the world
Risk assessment tools developed in conjunction with leading industry
risk-management experts Real-time reporting
on investments Transparent online view of your entire portfolio in
yOuR futuRe,
STREAMLINEd
through the years you may have
acquired one or more pensions,
paid money into an isa, and
perhaps invested into bonds or
direct funds such as unit trusts.
If that’s the case, the chances are your investments are through a number of different providers, making life more complicated than it needs to be:
• You receive separate statements from each provider at different times of the year.
•
It’s difficult to get an up-to-date valuation that covers all your investments.We provide a more joined-up approach. As an Old Mutual Wealth customer you can view information on your account(s) at your convenience, on our Customer Centre.
By registering for the Customer Centre you can:
•
view current valuations of the individual funds you are invested in, and the total value of your portfolio•
access fund prices, performance data and factsheets•
view the key details of your policy at a glance•
reduce paper and access your documents online*•
change your personal details and password.* for Collective Retirement Accounts, Collective Investment
17
find Out MORe:
To find out how easy it is to use our online Customer Centre go to www.oldmutualwealth.co.uk/Relax,
YOU’RE IN GOOd HANdS
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FeBruarY 2014 Best Platform
MOneywise pensiOn awaRds
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Best Personal Pension Provider
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JuNe 2013
Income drawdown – Gold-rated provider Unwrapped mutual funds – Gold-rated provider
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Company of the Year
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Best WRAP or Platform
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OuR MOst ReCent awaRds inClude:
Their Financial Services register numbers are 165359 and 207977 respectively. VAT number 386 1301 59.
