Now more than ever, advisers should look further than ratings to fully understand how investment funds align with their clients’ specific risk profile, writes Nick Henshaw
Ratings provided by independent agencies are a brilliant starting point for advisers working to determine the risk profile of different investment funds, both on and off-platform. But, especially given the elevated volatility that markets have been experiencing recently, it's important that they are seen just as that – a starting point. Risk ratings are useful because they provide a single metric that allows an adviser to assess a potential investment at a glance. But, while ratings provide a fast and cost-effective way to determine suitability and meet regulatory requirements, they o...
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