About Us
Benefits of SMARTfunds
Why are SMARTfunds so smart?
SMARTfunds are Authorised Unit Trusts (AUT) delivered using Separately Managed Account technology (SMA), providing:
- the tax benefits and Investor protections of an Authorised Unit Trust
- the transparency of SMAs
- the ability for individual remuneration agreed between the Adviser and their client, to be reflected in the level of charges paid by the fund
- the online reporting capabilities of a wrap platform
Who provides SMARTfunds?
SMARTfunds are operated and administered by SMARTfund Administration Ltd. SMARTfund Administration Ltd is registered in England and Wales and is wholly owned by Præmium Portfolio Services Ltd. SMARTfund Administration Ltd is authorised and regulated by the Financial Services Authority under reference 463566.
SMARTfund benefits
SMARTfunds provide many of the benefits which would normally be expected from holding an Authorised Unit Trust:
|
Professional Investment Managers |
SMARTfunds tap into the expertise of professional Investment Managers with established track records in managing money. Whilst SMARTfund Administration Ltd (a wholly owned subsidiary of Præmium Ltd) will remain as the Fund Manager, with primary responsibility for the administration and performance of the sub-funds which it operates, professional Investment Advisers will provide investment models for new funds. The Investment Advisers could range from established fund manager brands, boutique and specialist managers, to brokers and other money managers who may not normally be able to be accessed. |
|
Gross roll up of Capital Gains |
As with all AUTs, capital gains made within each fund are not taxed, although investors may be liable to CGT when they cash in all or part of their investments or switch between funds. |
|
Choice of Investment Models |
Over time, Investors will be able to choose from a range of funds, which can be blended to create a portfolio to suit the Investor’s individual risk profile and investment objectives. |
|
Tax-Wrappers |
As with any AUT, SMARTfunds can provide further tax-protection by being held within ISAs, SIPPs, trusts and other tax-wrappers. |
In addition, SMARTfunds also provide some more unique benefits:
|
Visibility of underlying securities |
SMARTfunds provide unprecedented visibility of the underlying securities held within each fund. This can help Advisers minimise any overlap in the underlying securities when blending models and therefore increase diversification. to ensure there is no overlap in the underlying securities and therefore increase diversification. Visibility of the underlying securities within each fund can also increase Investor engagement in the investment process as previously abstract investment units are opened up to reveal real companies. It should be noted that although the Investor has visibility of the underlying securities, the Investor does not have any beneficial ownership of these assets. The Investor owns a unit within the AUT. |
|
Customer Agreed Remuneration (CAR) |
Because of the nature of a SMARTfund, Advisers are able to agree with each client exactly what level of remuneration will be received from each client. This means that clients can be invested in the same fund but can agree to a different level of Adviser remuneration depending upon the level of service which is offered or whether you charge on a fee basis. The agreed remuneration will then be deducted from the client's investment and paid to the Adviser. |
|
Transparency of charges |
The complex and opaque charging structures of traditional investments often mean that Investors do not know or understand what they are being charged for the investment and how this impacts performance. In contrast, SMARTfund’s inherent transparency allows interested Investors and their Adviser, to see exactly how much they are paying for investment management, administration and advice and how the costs of transactions by the fund impact on performance. |
|
Online reporting |
By investing in a SMARTfund, Investors and their Advisers gain access to an online reporting platform, providing access to portfolio valuation, transaction, performance, asset allocation and tax reporting. When combined with V-Wrap, non-SMARTfund assets can also be recorded on the platform providing a single consolidated view of the client portfolio. |
|
Automated rebalancing |
If multiple funds have been blended to achieve a target asset allocation for an Investor, SMARTfunds can automatically rebalance to ensure that this agreed allocation remains intact. |
How to invest?
SMARTfund only accept investments from Investors with an authorised Financial Adviser. An Adviser should contact us for a Standard Form Distribution Agreement. When you have signed an agreement SMARTfund Administration will register you onto the system and provide you with login information to enable you to access the system.
After you are registered, to make an application you can login to the SMARTfund platform and access the relevant forms.