The future of investment modelling

Whilst we can all find reasons to criticise that world, the fact is that With Profits did provide an awful lot of what consumers wanted from an investment; potential upside, guarantees and an annual return whilst giving an indication of the level of income which could be safely taken from the fund. Within the fund itself, the actuaries had broad asset allocation powers, relieving us and our clients of the need to worry about such issues (at least that was the theory). Of course, those days now are well and truly gone, to be replaced with a world of sector funds, multi manager propositions...