Advisers are increasingly recommending Risk Target Managed (RTM) solutions, with latest figures from Dynamic Planner revealing an increase of 15 per cent year on year.* Recommendations of Premium and Select-rated funds in Dynamic Planner have also increased by 30 per cent year on year.

The evolution of RTM was kick-started with a number of regulatory changes which saw demand driven initially in March 2011 with the publishing of the then FSA’s ‘Assessing Suitability’ paper; more recently MiFID II put increased onus on asset managers to ensure close orientation of a customer’s investment objectives; and in 2017, the FCA’s ‘Asset Management Market Study’ focused on communication and usefulness of fund objectives for retail investors.

As a result, Dynamic Planner has seen funds under management for RTM and Dynamic Planner RTM funds grow rapidly from £1.6bn in 2013 to £6.7bn in 2018, effectively a 320 per cent uplift.

Chris Jones, Proposition Director, Dynamic Planner said: “We are witnessing something of a revolution with Risk Target Managed funds. The growth of these outcome oriented, typically multi asset investment solutions is on its ascent and the sky is the limit. A whole catalogue of regulatory factors has come together to position RTM as a key solution for clients, and advice firms have their eyes wide open to the advantages – an amazing 320 per cent increase in five years in funds under management is evidence to this fact.

He continued: “RTM can be hardwired into a firm’s centralised investment process, with the aim of delivering greater consistency for customer outcomes, alongside demonstrating value for money in client relationships. Combined with technology-enabled delivery, these investment solutions, whether targeted absolute return or risk-targeted funds, can help tackle the economic challenge of delivering suitable advice profitability and at scale in a post RDR-world.”

Dynamic Planner is the UK’s preferred digital risk profiling and asset allocation investment service used by more than 6,500 financial planners and a wide range of financial institutions. It helps advisers build investment propositions on whole of market research while providing access to more than 1,200 investments, including more than 120 RTM solutions.


Media Enquiries:
Joanne Macklin
PR Manager
Dynamic Planner
07813 192909

Notes to editors:

* Figures year on year compared to October 2017

Vitality has partnered with Dynamic Planner to help launch VitalityInvest and enable people to close the savings gap in retirement.

Vitality has launched its Risk Optimiser fund range, five multi-asset risk-targeted funds benchmarked against Dynamic Planner’s Risk Target Managed (RTM) service and volatility boundaries 3-7. The passive range is index-tracking and also in partnership with leading asset manager Vanguard. Funds have been carefully constructed with a mix of assets to optimise returns based on the level of investment risk.

VitalityInvest’s Risk Profiling process – both for advisers and investors – once it is live will be powered by Dynamic Planner, the UK’s leading and most trusted risk profiler, which is today used and trusted by more than 6,500 financial advisers. Dynamic Planner – since 2003 – has helped UK advisers ensure investment suitability, increase efficiency and demonstrate value to their clients. VitalityInvest has also launched a portfolio of 10 funds, actively managed by Investec and risk profiled by Dynamic Planner across a broad spectrum of investment risk.

A Dynamic Planner spokesperson said: “We’re delighted to be supporting VitalityInvest’s new investment proposition, with our Risk Target Managed service playing a core role in its Risk Optimiser fund range. Vitality’s approach, bringing together investments and wellness, is a fresh and positive way to help clients achieve their financial goals in life.”

Herschel Mayers, CEO of VitalityInvest, said: “At Vitality, our approach is to only ever enter a market if we are confident that we can make a positive difference to members’ lives. With this positively different range of savings products, I sincerely believe we can.

Dynamic Planner has its own 10-strong team of analysts and qualified investment professionals in house, carrying out expert, whole of market research to the highest industry standard. It has carefully built and developed close relationships with leading UK asset managers since 2005 and today, there is £8bn in RTM funds utilising the Dynamic Planner Asset and Risk Model.