Cost is king: the benefits of target-weighted funds

COST IS KING

clock

Tom Rampulla, managing director of Vanguard Asset Management, explains the benefits of target-weighted funds when assessing suitability and cost.

As a fee-based adviser operating in an uncertain and volatile world, you are faced with a number of challenges. How are you going to ensure that you are providing a service your clients are happy to pay for? You are unlikely to demonstrate value by trying to pick top-performing markets or by encouraging your clients into the latest hot fund. However, if you can help your clients avoid some of the natural human shortcomings that beset all investors; if you can focus on the parts of the investment equation you can control – such as cost – then you will be providing a service of obvio...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Economics / Markets

What two pizzas tell us about Bitcoin

What two pizzas tell us about Bitcoin

Laszlo Hanyecz really needed a slice...

Laith Khalaf
clock 19 December 2024 • 6 min read
Rise in UK inflation 'unwelcome' ahead of BoE interest rate meeting

Rise in UK inflation 'unwelcome' ahead of BoE interest rate meeting

Bank of England MPC meeting due on Thursday

Sorin Dojan
clock 18 December 2024 • 3 min read
Trump, tariffs and why UK companies can still appeal

Trump, tariffs and why UK companies can still appeal

Is a trade war inevitable?

Sheldon MacDonald
clock 11 December 2024 • 4 min read