Description and Background
Over the last few years there have been significant legislative developments in the investment environment and as a result also to the products available to investors saving for retirement and/or investing post retirement. These new developments strongly influence the financial advisor conduct often resulting in the investor having to select the right type of investment for this critical purpose. Furthermore, most investors starting at a young age neglect to monitor and match their investments to their changing risk profile as they get closer to retirement. CLARUS offers a suite of co-named CIS portfolios specifically designed for investors saving for this critical purpose. These products have been designed to use for reducing the risk over time as the investors move through their own investment life cycles and ultimately into the wealth utilization stage.
- Younger investors of typical ages 20 to 45 are focused on building wealth through higher risk exposure as they start contributing towards their retirement. For investors in this early stage of creating wealth we have the Aggressive Optimal Fund, the Specialist Value- and Property Funds and/or the multi-managed Moderately-Aggressive risk-profiled Reg. 28 compliant Wealth Creator FoF available.
- Middle-aged investors of typical ages 45 to 55 usually become more concerned about the ability of their investment to minimise the risk of losing money while still achieving inflation beating returns, as most in this stage will have some money saved. For this stage of accumulating wealth we have a multi-managed Moderate risk-profiled Reg. 28 compliant Wealth Accumulator FoF available to investors.
- Mature investors of typical ages 55 to 65 normally have built up substantial retirement savings as they get closer to the Wealth Utilization stage of their lives. Their objective gradually changes towards wealth preservation while they still have to manage their worst threat and that is not having sufficient money to retire with. For these investors we have the multi-managed Cautious risk-profiled Reg. 28 compliant Wealth Preserver FoF.
- The post-retirement investors have entered the golden phase of wealth utilization, where a personalised and complex balance between assets that produce capital growth and assets that produce income is the most important factor to manage. This process is dictated by individual cash flow requirements and the key to optimising the lifespan of an annuity, is the amount of income required. During the wealth utilisation stage a combination of the above investments and the multi-managed Conservative risk-profiled Reg. 28 compliant Real Income Fund is optimally structured on an individual basis. Exposure to risky assets is minimised in this portfolio making it less prone to poor investment decisions and allowing the investor to enjoy a successful retirement.
Unique Selling Points
- A set of investments combined into a single optimum retirement solution.
- Exposure to the investment skills of the leading investment managers of each asset class.
- A suit of risk-managed strategies to maximise investment returns for carefree retirement.
- Optimal deployment of assets for enhanced annuity lifespan.
- Reduced investment risk through protection strategies used in the underlying funds to reduce volatility in the value of investments.
- Seamless integration of the optimal asset allocation decision with a proper financial plan.
- Investments are rebalanced by the IFAs on LISP level over time as an investor’s income needs changes.
- Compelling long term real returns.
- Both investor and intermediary enjoy peace of mind through full compliance and audit trail.