Vanguard has expanded its LifeStrategy offering with the launch of two new ranges of model portfolios; Vanguard LifeStrategy MPS Classic and Vanguard LifeStrategy MPS Global.
Since its launch in 2011, LifeStrategy has grown popular among advisers, with over 4,00 adviser firms using the range to provide multi-asset investing to their clients. In total, investors have invested more than £36 billion.
The Vanguard LifeStrategy MPS Classic range consists of five model portfolios, similar to the design of the Vanguard LifeStrategy mutual funds, providing broadly diversified exposure to global equity and fixed income markets.
The model portfolios target a set risk profile, from 20% to 100% equity. The range also has a tilt towards the UK in both equity (25%) and fixed income (35%).
In contrast, the Vanguard LifeStrategy MPS Global range foregoes a tilt to the UK, aimed at investors who prefer a global approach.
Neil Cowell, head of UK intermediary distribution, Vanguard, says: “Since its launch in 2011, LifeStrategy has formed the bedrock of many financial advisers’ centralised investment propositions, resulting in over 4,000 adviser firms using the range to deliver low cost, broadly diversified, uncomplicated, multi-asset investing to their clients.
“We are delighted to be able to now offer the range in model portfolio format as part of our ongoing commitment to supporting financial advisers. Our LifeStrategy MPS Classic and LifeStrategy MPS Global model portfolios are designed to give advisers the choice of wrapper and asset allocation that best meet their needs and preferences.”
Both ranges will be available on the Transact, Aviva and StandardLife platforms, alongside Vanguard’s existing LifeTarget model portfolio range and will be rolled out to a select number of adviser platforms over the coming 12 months. The classic range has been rated by Dynamic Planner, Defaqto and Oxford Risk. Further ratings for both ranges will be completed after launch.
