Fintech provider Intelliflo has partnered with investment giant Invesco to help develop its newly unveiled Integrated Model Portfolio System (iMPS).
The move comes after the firm’ s founder and executive chairman, Nick Eatock, said, during an event attended by International Adviser, that it had tripled spending on its Intelligent Office service to £10m ($12.5m, €11m) from £3m.
Invesco, which bought Intelliflo for an undisclosed fee in June 2018, will be the first firm to offer model portfolio services via iMPS.
However, Intelliflo is currently in talks with other model portfolio providers with offerings from these firms planned to launch in the near future.
Eatock said: “It’s estimated that more than half of advisers run their own advisory models on behalf of their clients and iMPS has been developed with them in mind.
“The new service dovetails with our Personal Finance Portal (PFP) to deliver seamless automated communication to clients as and when changes to portfolios are required, cutting out the need for advisers to do this manually.
“This, together with the low-cost pricing of the investment portfolios that will be available through the service, gives advisers the power to deliver a highly cost-effective investment service to their clients.
“This really is a game changer for advisers managing investments.”
Invesco’s strategy
Invesco’s service will initially launch with a range of multi manager model portfolios to meet a variety of adviser and client needs.
The iMPS technology will help “streamline the advice process, providing automated client communication for portfolio changes, allowing advisors to maintain advisory portfolios that align to clients’ risk appetites easily and efficiently”.
It will cost advice firms £1 per client per month (plus VAT) to access the model portfolios and the fee will be capped at £70 per month (plus VAT) per advice firm.
Chris Lyes, head of retail distribution at Invesco said: “Advisers in the UK face increasing challenges to meet evolving market and regulatory challenges.
“We believe that by bringing Invesco’s investment depth and expertise onto the cutting-edge technology of Intelliflo we can deliver improved choice, investment outcomes and value to advisers and their clients.”
“Our scale as the one of the largest asset managers in the world means we can bring this robust investment proposition to the UK financial adviser at a market leading price. We believe in the value of financial advice; we believe a small amount of financial advice can make a real difference and ongoing financial advice can be life changing.”
Invesco has experience running a similar service in the US, through its Jemstep offering.
