A robo wealth firm set up by a former Brooks Macdonald investment manager has unveiled how it fared in its first full year.
Cardiff-based Wealthify, which was co-stablished by Michelle Pearce alongside technology specialist Dr Richard Theo, opened for business at the start of last year.
The firm operates ‘investment plans’ across five risk profiles, ranging from cautious to adventurous.
Charges are dependent according to the value of investments held. They can be as low as 0.5% and peak at 0.7%. The firm use low-cost passive investments via exchange traded funds and mutual funds to keep costs down.
According to the figures published by Wealthify, all five of its model portfolio beat their benchmark in the first year (see below).
The firm attributed its showing to ‘careful adjustment of asset allocations’, which helped ‘mitigate’ against events such as Brexit.
The 'Adventurous Growth' was the standout model, returning 28.5%, beating the 23.45% return Asset Risk Consultants’ equivalent benchmark.
Its 'Confident' and 'Ambitious' portfolios returned 18.28% and 22.5% respectively, versus 17.08% and 19.5% in the benchmark.
Meanwhile its more conservative 'Cautious' and 'Tentative' strategies returned 8.86% and 11.86% respectively, against 8.8% and 11.73% in the benchmark.
‘We’ve achieved higher growth for our clients’ investments in comparison to a raft of major traditional wealth managers, all the while staying committed to low fees, transparency and a small minimum investment,’ said Pearce, who serves as chief investment officer at Wealthify.
‘Our returns, combined with our simple, affordable and jargon-free approach to investing means everyone, regardless of their experience, can make their money work harder than it currently does in cash savings.’