Aim of Portfolio:
| Aim | Benchmark | Time frame | Risk/Volatility | Exclusions | Capital at risk | |
| Income Portfolio | To deliver a yield of 3%+ p.a., with growth being secondary. | AFI Balance Index | 10-years plus | This is aimed at those clients seeking an income with growth being secondary. It is seen as balanced in achieving the income; it must take slightly more risk and has a higher exposure to investment trusts (traded investment companies). It currently invests in seven investment trusts. It holds 21% in fixed-income assets, 19% in alternatives and the balance in UK and international equities. | No | Yes |
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Portfolio Review:
Performance:
The Portfolio was launched on 1 July 2022. The chart shows the total return up to 30 September 2023.
| Total Return Since Launch | |
| Income Portfolio | 0.79% |
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 within the Portfolio (as at 1 July 2023):
Important notes
What is the difference between the aim of the strategy and benchmark?
The target or aim is to deliver a yield of 3%+ p.a., with growth being secondary, over ten years.
Do we guarantee a yield of 3% p.a. over a ten-year period?
This is our stated aim. We do not guarantee this.
Why do we have a benchmark?
This is slightly different to other portfolios in that we target a yield rather than a return. However, we use the AFI Balanced Index as a comparison. This comprises of the recommended portfolios of a panel of UK financial advisers. The portfolios were launched on 1 July 2022.
The first table shows the current yield vs the target yield. The second table is the total return performance over 1-year and since launch.
| Yield | |
| Income Portfolio | 4.92% |
| Target | 3.00% |
| Positive Impact Income Portfolio | 4.49% |
| Target | 2.50% |
| 1-year | Since launch (p.a.) | |
| Income Portfolio | -2.75% | 0.63% |
| Benchmark | 4.80% | 1.98% |
| Positive Impact Income Portfolio | -1.79% | -4.02% |
| Benchmark | 4.80% | 1.98% |
How do we measure performance?
Portfolio Level
We have several touchpoints when monitoring performance:
- We monitor performance monthly.
- We have an internal monthly investment risk matrix. Within this, we monitor the target return and compare the performance to a range of discretionary managed portfolios.
- We update the website quarterly with performance data and provide updates.
- From September to February, we conduct a comprehensive review of the portfolios and rebalance on 1 July each year (subject to your approval).
The primary focus of this work is to understand periods of underperformance and adjust where we see appropriate.
Charges
The performance data includes the fund charges but not the platform and LWM fees. Fees are fully disclosed. Below are the fund fees as of 30 September 2023 provided by Trustnet.
| Fund fees | |
| Cautious Portfolio | 0.74% |
| Balanced Portfolio | 0.80% |
| Moderately Adventurous Portfolio | 0.89% |
| Adventurous Portfolio | 0.90% |
| Cautious Positive Impact Portfolio | 0.94% |
| Balanced Positive Impact Portfolio | 0.91% |
| Adventurous Positive Impact Portfolio | 0.91% |
| Income Portfolio | 0.99% |
| Positive Impact Income Portfolio | 1.06% |
We review our charges within the Consumer Duty Fair Value Assessment. We also disclose under transparency on the website.
Performance
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.