AJ Bell's MPS shift to 'reduce adviser risk'

Liability will rest with MPS manager

clock • 3 min read

AJ Bell has made a change that means advisers will not be held liable for the performance of the underlying holdings of its managed portfolio service.

The adviser platform and discretionary manager has updated its managed portfolio services (MPS), which encompasses active, passive, ‘pactive' and responsible MPS options, as well as its retirement portfolio service, to operate on a ‘reliance on others' (ROO) basis, meaning advisers are not responsible or liable for the investment decisions made in the underlying portfolios. The change will reduce the risk and cost for advisers as they will not be held liable for the investment decisions made in underlying portfolios.  AJ Bell's MPS previously operated on an ‘agent as client' (AAC) bas...

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