Sentry adopts HUB24’s managed portfolios
Platform provider, HUB24, has partnered with dealer group, Sentry Group, to provide the advice firm with managed portfolios though the group’s Compass Funds offering.
Sentry Group said it had built 10 managed portfolios as part of the offering, which would provide access to both Australian and diversified strategies through foreign portfolio investments.
Sentry Group chief executive, Murray Hills, said it was important for advisers and accountants to collaborate, and that investment decisions should be informed by tax impacts on clients.
He said the offering would allow its advisers to “outsource asset management and portfolio construction to specialist investment managers while still benefiting from the transparency, tax efficiency, and portability provided by the exposure to direct assets”.
HUB24’s modelling tools would also estimate capital gains tax (CGT) when switching from one managed portfolio to another or when selling assets.
“The system nets any assets at the account level, potentially reducing transaction costs and CGT by as much as 50 per cent when moving between managers, if they have substantially the same assets in their portfolios,” he said.
The system would also forecast out 28 days to examine whether the tax position would change if the transaction was postponed for a month, he added.
The platform can also select which tax parcels to trade based on the chosen tax methodology (i.e. minimum gain, maximum gain, etc.) and for any parcels within an account, whether it is discretionary portfolios or those managed by the adviser.
AUTHOR
Malavika Santhebennur
Recommended for you
Shaw and Partners’ new national head of private wealth believes the biggest challenge for financial advisers right now is being able to deliver efficient advice delivery amid a complex regulatory environment and growing investment universe.
Global equity manager Orbis Investments has appointed a head of marketing from Capital Group as it becomes the latest manager to target advised retail investors.
While Australia prepares for the $3.5 trillion intergenerational wealth transfer, a Wilsons Advisory report suggests the ongoing gender imbalance in the advice profession could prove a challenge to this process.
Danielle Press, a former ASIC commissioner, is to chair a new AFSL committee set up by Sequoia which seeks to improve governance practices and review its approved product lists.
