1 year ago

Blue Chip Issue 81

  • Text
  • Advisers
  • Institute
  • Planning
  • Financial
  • Financialplanning
  • Financialplanners
  • Solutions
  • Equity
  • Investments
  • Investing
  • Investors
  • Advisors
  • Momentum
  • Funds
  • Global
Blue Chip is a quarterly journal for the financial planning industry and is the official publication of the Financial Planning Institute of Southern Africa NPC (FPI), effective from the January 2020 edition. Blue Chip publishes contributions from FPI and other leading industry figures, covering all aspects of the financial planning industry. Blue Chip takes this opportunity to wish the FPI a happy 40th anniversary. Congratulations!

INVESTMENT Many of the

INVESTMENT Many of the underlying holdings will be held in the South African offshore funds of MGIM, being the Momentum Global Cautious, Global Managed and Global Growth Fund, all of which have been available to South African investors since their inception in 2008 (with a great investment track record). MGIM offers a range of seven risk-profiled managed model portfolios to UK advisors and their clients, available on multiple UK domestic fund platforms. With the expansion of the company is MGIM still able to place the client’s goals at the centre of the investment process? Absolutely. Our shared outcome-based philosophy has most definitely prevailed and is very much hard-coded in to our investment process. This is the DNA of both MGIM and Seneca. If I have to say so, even more so than before, especially given our skill set and range of solutions for advisors in multiple jurisdictions. The combined SIML and MGIM funds create a comprehensive offering for advisors and DFMs. What is this offering? Our MAVT investment trust has gained significant traction with DFMs effectively recognising our different approach and wishing to boost diversification within their own client portfolios. We have a range of inhouse-managed model portfolios for advisors and DFMs. We provide bespoke solutions where we partner with DFMs in all our markets (including SA, the UK and expat regions) as their investment engine. MGIM has a range of single-asset-class funds that have been developed over the years to enable our multi-asset solutions and are now all in a UCIT vehicle and will soon be available in all our markets to advisors and DFMs. These will make excellent additions to DFM propositions and/or client portfolios across our markets. Mostly, we are well-positioned and resourced to partner with more advisor firms and DFMs to help them construct investment offerings. Where do you see MGIM expanding in the short term? We will continue to focus on what we do best, which is our outcome-based multi-asset and single-asset solutions, working in partnership with and in support of advice-led investing. So, that means really focusing on enabling offshore investing for South Africans where they need this in their diversified portfolios, and for our multiple international advisors. And gaining far more traction in the UK domestic market and building on the recent acquisition of Seneca is key. We will grow our investment consulting practice, and work with trustees of large pension schemes and charities. What are the latest trends in this market that pertain to your business directly? New ways of work have emerged over the past 18 months. Digital enablement and mobile execution are important, especially from an advisor and investor perspective. For MGIM, this means working closely with fund platforms to enable this. Climate focus and are also very important and we have recently launched a number of new funds following demand from our advisor network. Closer to home, consolidation in distribution and end-to-end vertical integration. Is this the end of independent advice? As a firm, we drive advice-led investments; and work with and hope to enable investment propositions of advisors. In multi-asset management, finding asset classes that are uncorrelated and can deliver a balanced outcome and a smoother journey. The traditional 60/40 portfolio split is not appropriate for the world of today, and hence we need to truly explore alternatives. Analytics and the ability to source information globally across multiple data sources. GETTING TO KNOW FERDI VAN HEERDEN Management style? I do as I expect others to do. I am hands-on and do what is needed. I enable people to develop their best selves, by giving and creating opportunities. Do you want to be liked or respected? I have never aspired to win a popularity contest. I wish to be respected for what I do, how I behave, and how I lead people and the business. And hopefully, it will show that sometimes unpopular decisions have popular outcomes. Personal best achievement? Most definitely convincing my wife to be my partner, supporter and encourager in life. Perhaps the biggest gratification comes from the people that I appointed and saw achieving their own best outcomes. For me, satisfaction comes from enabling people and seeing them flourish and be successful – like how I was given opportunities in my career. Currently reading? Morality, by Jonathan Sacks. It is about restoring the common good in divided times and about a Cultural Climate Change in the world that needs urgent attention. The rise of selfishness, loss of trust, shift from us to me. A progressive culture of inclusivity and diversity in business is critical for success. Blue Chip advice? Stay true to who you are. Promote positive stories and responsible behaviour. The world has enough challenges. CAREER HISTORY Van Heerden joined MGIM in 2010 after the position as CEO of a start-up insurance venture in Switzerland for three years. He has held several senior executive positions in both Momentum and Momentum Metropolitan Holdings Limited, and the FirstRand Group, both listed companies on the Johannesburg Stock Exchange. During his career of almost 20 years with the Group, his responsibilities included heading up Momentum’s individual life operation, the private pension fund administration business, as well as FirstRand’s consumer banking division. Van Heerden has 35 years’ experience in the life insurance and investment industries in South Africa, the UK and Europe. 46

Looking for a true global investment partner? Momentum Global Investment Management (MGIM) has a long heritage of partnering with and supporting financial advisers with their investment management needs. MGIM, Momentum Investments’ international investment business based in the United Kingdom, focuses on designing, building and managing outcome-based investing products, delivered through multi-asset, single asset and tailored client solutions. We follow a true partnership approach with financial advisers. Because with us, investing is personal. Momentum Global Investment Management Ltd (FSP 13494) is an authorised financial services provider.

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