MAY 2021
EDITION

VIEW ONLINE
SUBSCRIBE

Register with PP

Newsletter, Jobs & Event Alerts

Latest

Dynamic Planner extends client tool to help meet MiFID II

25 January 2021

Dynamic Planner has extended its client reporting tool to help advisers address the different requirements of MiFID II regulation. 

The new rules stipulate that advisers must report a fund switch or rebalance to the client prior to a transaction. While 70% of platforms provide auto-rebalancing, advisers cannot rely solely upon this functionality without meeting advisers responsibilities set out by MiFID II. 

According to the risk profiling business, its recommendation report allows advisers to meet MiFID II regulation by immediately pinpointing the impact of portfolio changes in relation to the most efficient risk and return ratio on its 1-10 scale. Dynamic Planner said the process will enable advisers to meet regulation which requires them to report all advised portfolio recommendations prior to a transaction being made. 

Chris Jones, proposition director, Dynamic Planner (pictured), said: “Multi-asset investors are all facing rebalancing responsibilities, and many are facing tactical and active management decisions. How those decisions are made and how and when the instruments are bought or sold is quite different depending on the type of solution. 

“It is entirely possible to build an identical portfolio in a collective, a Discretionary Managed Portfolio or an Advised Portfolio and therefore easy to find or build either, to be compatible with a client’s risk profile. It is what happens afterwards that is quite different and the choice is a matter of the client’s, or target market’s needs, characteristics and objectives.  
“Now more than ever it’s about knowing your tools and using the right tool for the right job, or in PROD language, ‘Having sufficient, adequate and reliable information on solutions to ensure that they are compatible with characteristics, objectives and needs of the target market.”

Professional Paraplanner