Trouble for Architas target-date funds sees promoter exit

Advisers' rumoured to be shunning small investor range

Laura Miller
clock • 2 min read

A range of low-cost auto-enrolment-style funds for retail investors, launched to fanfare last January, has lost its promoter amid rumours advisers have shunned the products because they serve lower value clients from ‘cradle-to-grave'.

The Architas BirthStar Target Date funds were a joint venture between fund managers AllianceBernstein and Architas as the authorised corporate director, both part of the Axa Group, and Birthstar, which developed the range and was in charge of promotion. But Birthstar has been dropped by AllianceBernstein, leaving the funds without any active sales strategy, though they remain live and actively managed on all major fund platforms. People close to the situation said poor sales led to the break down of the relationship, due to a lack of interest from advisers in a range aimed at very low...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Woodford IM hits back at FCA's enforcement action including £46m in fines

Woodford IM hits back at FCA's enforcement action including £46m in fines

WIM said it 'strongly disagrees' with the regulator's decision

Cristian Angeloni
clock 05 August 2025 • 3 min read
Regulator bans and fines Neil Woodford and Woodford IM £46m

Regulator bans and fines Neil Woodford and Woodford IM £46m

Woodford has appealed the decision to the Upper Tribunal

Cristian Angeloni
clock 05 August 2025 • 3 min read
Darius McDermott: The line between resilience and risk

Darius McDermott: The line between resilience and risk

'Trump has, for the most part, chickened out'

Darius McDermott
clock 29 July 2025 • 5 min read