Giles Marriage: Beyond funds - why stock screens are key in DFM selection

In the past year there has been a move by some discretionary fund managers (DFMs) towards direct equity investing. It is not difficult to see why. DFMs able to hold securities as well as funds in model portfolios - be that in UK blue chips or global companies - which can offer advisers distinct advantages over a collectives-only approach. Direct investing enables DFMs to provide advisers with lower-cost investment solutions, as holding securities is typically cheaper than holding funds and collectives that incur management and running costs. These savings can be particularly beneficial i...