BlackRock has released its initial MPS line on the Transact platform. BlackRock has been chosen by Transact to offer and administer the Transact – BlackRock Model Portfolio Service (MPS) to the community of financial advisors.
Moreover, it claimed that the Transact – BlackRock MPS has “further strengthened” the Transact platform.
According to Transact, the service was introduced to give financial advisors more discretionary investment manager options.
By using multi-asset funds hosted on platforms and discretionary investment manager models, advisers were progressively outsourcing investment management, according to claims.
Also, the goal to “lower cost and risk, with assets managed by the third-party discretionary investment managers on the Transact platform more than doubling in recent years,” it continued, was the driving force behind this.
Furthermore, seven discretionary risk-managed model portfolios with variable volatility and asset allocation ranges made up of index mutual funds, exchange-traded funds (ETFs), and cash will make up the Transact – BlackRock MPS range.
According to the platform, these models are based on BlackRock’s industry-leading asset allocation and investment management capabilities.
But, the target allocation will be split between up to 40% of index products from other asset managers and iShares index mutual funds and ETFs (managed by BlackRock).
Advisers can save money for their clients by using low-cost index products within the MPS to provide a competitive pricing structure.
The seven model portfolios will be managed by the Multi-Asset Strategies & Solutions division of BlackRock.
“Advisers have informed us that third-party discretionary investment managers help to decrease cost and risk in their businesses, while letting them to spend more time with clients,” said Jonathan Gunby, chief executive of Transact.
We are thrilled to have been chosen by Transact to build and administer the Transact – BlackRock MPS range, said BlackRock’s head of UK advisers and platforms Heather Christie.
With advisers increasingly using discretionary investment management services, the UK savings and investments market is changing quickly.
Blackrock informed that the Transact – BlackRock MPS range, supported by BlackRock’s global asset management capabilities, brought a truly differentiated proposition to the IFA market.
