LWM Ethical

Aim of fund

The portfolio will look to invest in a basket of OEICS (open ended investment companies) and investment trusts to achieve above inflation returns over the medium to long term.

The investments will be screened from the available UK Ethical Funds and Investment Trusts (currently approximately 80 available investments). The portfolio will look to avoid investments which are ‘sustainable’ but don’t have an ethical screening.

Portfolio Review

Quarterly Portfolio UpdateApril 2017
Quarterly Market UpdateApril 2017
Morningstar Quarter 1 2017 Portfolio OverviewApril 2017
Quarterly Portfolio UpdateJanuary 2017
Quarterly Market UpdateJanuary 2017
Morningstar Quarter 4 2016 Portfolio OverviewJanuary 2017
Quarterly Portfolio UpdateOctober 2016
Quarterly Market UpdateOctober 2016
Morningstar Quarter 3 2016 Portfolio OverviewOctober 2016
Quarterly Market UpdateJuly 2016
Quarterly Portfolio UpdateJuly 2016
Morningstar Quarter 2 2016 Portfolio OverviewJuly 2016

Risk and benchmark performance of fund

Due to the limited number of funds we are only able to produce one risk profiled ethical fund.

The risk is similar to a balanced investor. We understand a balanced investor is looking for a balance of risk and reward, and therefore that this brings with it a higher level of risk and that the value of their investment may fluctuate in the short term. However, with that level of risk they would be unhappy if the overall value of their investments were to fall significantly over a short period and would not be happy to see capital eroded. The portfolio we have constructed reflects this and has a medium to high risk score of 6 out of 10.

Risk score (maximum 10)Upper returnAverage returnLower return
LWM Ethical Portfolio631.40%6.71%-17.63%

Performance

The Portfolio was launched on the 31 July 2014 and the total return up to 31 March 2017 is 37.79% against a benchmark return of 16.58%. A detailed breakdown of the performance is shown below.

Standardised Performance

1 Yr to 31/03/131 Yr to 31/03/141 Yr to 31/03/151 Yr to 31/03/161 Yr to 31/03/17
Ethical PortfolioN/AN/AN/A0.52%20.98%
BenchmarkN/AN/AN/A-6.66%19.25%

12 Months Total Return (bid to bid) Source: Morningstar, net income reinvested.

201220132014201520162017
Ethical PortfolioN/AN/AN/A6.63%15.51%5.28%
BenchmarkN/AN/AN/A0.01%13.27%3.35%

Performance from 31 July 2014 – 31 March 2017. Performance for 2014 is from 31 July 2014. Source: Morningstar,on a bid to bid basis with net income reinvested.

You should note that past performance is not a reliable indicator of future returns and the value of your investments can fall as well as rise. The total return reflects performance without sales charges or the effects of taxation, but is adjusted to reflect all on-going fund expenses and assumes reinvestment of dividends and capital gains. If adjusted for sales charges and the effects of taxation, the performance quoted would be reduced.

Split by funds

Fund Name
Percentage Holding
Fixed Interest / Absolute Return20%
Rathbone Ethical Bond Fund10%FactsheetKIID
Kames Ethical Corporate Bond Fund5%FactsheetKIID
EdenTree Sterling Bond Fund5%FactsheetKIID
UK Equities20%
Kames Ethical Equity Fund5%FactsheetKIID
Premier Ethical Fund5%FactsheetKIID
SLI UK Ethical Fund10%FactsheetKIID
European Equities
5%
EdenTree Amity European Fund5%FactsheetKIID
Global Equities
40%
F&C Responsible Global Equity Fund10%FactsheetKIID
EdenTree International Fund5%FactsheetKIID
Sarasin EquiSar Socially Responsible Fund10%FactsheetKIID
Jupiter Ecology Fund5%FactsheetKIID
Alliance Trust Sustainable Future Absolute Growth Fund10%FactsheetKIID
Specialist Equities
15%
Quilter Cheviot (Sun Portfolio / Way) Climate Assets Fund5%FactsheetKIID
Impax Environmental Markets Trust Plc10%FactsheetDocuments

Important notes

Risk

The risk score is to provide a guide; risk is set between 0 and 10. The higher the number the higher the risk, so far example ten is the highest level of risk and zero is minimal i.e. cash. The upper return is the expected upper maximum return for the given level of risk. The average of all returns is the possible returns within a risk level over one year. The lower level return is the lowest expected level of return. These are not guaranteed but provide a benchmark to measure performance of the portfolio.

The Ethical Portfolio has been given a rating of 6 out of 10 and aims to achieve annual average returns of around 6.71%, with a downside risk of -17.63% and upside growth potential of 31.40%. Although these returns are not guaranteed the investment committee will look to select assets which work within these boundaries.

Performance

The performance for the portfolio is based on the previous holdings for the portfolio. Data for performance is sourced from Morningstar. These figures are provided to give an indication of the performance of the portfolio. The performance figures take into account all fund / asset charges but do not reflect any additional charges, for example the cost of the investment plan and fees paid to LWM. These expenses may reduce the actual figures shown.

As an example of how this will impact on the performance, assuming the total gross cost of the portfolio is 0.79% p.a. (this is reflected in the performance figures shown), then after rebates and reflecting any fees payable to LWM Consultants the actual cost of this portfolio could be 2.19% p.a. (on a fund of £100,000 this would be £2,190 p.a.). This means that the drag on performance is around 1.40% p.a. (on £100,000 this is around £1,400 p.a.). The cost of accessing the funds may be higher via other routes and will include additional fees, the estimate is based on the highest charge via a SIPP and for other investments the charge will be lower. Charges may also reduce depending on the size of the assets held.

You should note that past performance is not a reliable indicator of future returns and the value of your investments can fall as well as rise. LWM only invests in UK based investments although some funds / assets may have overseas holdings, the performance of funds / assets where some holdings are denominated in foreign currencies will also be subject to variations in currency rates.

Factsheets

These factsheets are provided by third parties for information. LWM is not responsible for these factsheets, has not reviewed them, and accepts no liability in connection with your use of them or any of their content. These factsheets display the fund manager’s standard retail charges and please note that product charges and fees may replace the charges displayed.