Smith & Williamson Investment Management is launching a range of risk-rated funds via SimplyBiz's investment service Verbatim.
The link-up, which marks the first time the group has got involved in the guided architecture solutions market, will offer users access to S&W's fund selection process, driven by head of multi-manager funds James Burns (pictured).
"This is the first time we have been able to stand up and talk to IFAs about accessing, through guided architecture, the fund selection capabilities which we have on offer," said Nick Hodgson, head of marketing and sales for S&W.
Following Simply Biz's partnership with Distribution Technology in July, which assists advisers in identifying clients' attitude to risk, S&W will offer six model portfolios rated from 3 to 8 in terms of risk.
Those at the lower end of the scale offer the lowest risk and vice versa.
"We felt portfolios 3 to 8 would be where the bulk of the money would go, with portfolio 1 being 100% cash and portfolio 10 holding much spicier emerging market equities," said Burns.
The funds will hold an array of asset classes including cash, fixed income, equities from the UK, North America, Japan, Asia Pacific, emerging markets, property and alternative assets classes.
Burns selects open-ended funds, investment trusts and ETFs for the portfolios but, in order to avoid a conflict of interest, does not use any of the in-house S&W funds.
S&W has also formed an ‘Active Solutions Group' to drive the model portfolios. The group includes Burns, co-manager Nick Marshall, head of collectives Peter Lowe and David Amphlett Lewis, responsible for discretionary fund manager relationships.
Although the model portfolios will be launched with SimpyBiz initially, Hodgson did not rule out working with other advisory firms in the future.
"With the size of our organisation, it was better to work with one group and see how it works first before rolling it out widely," Hodgson said.
The £100m multi-manager fund range which Burns runs for S&W - including the MM Global Investment, MM Endurance Balanced and MM Cautious Growth - will remain unchanged.
The chairman discusses his surprise holiday job
Three months on
Regulator has stepped in
More than £70m spent on project