Sentry adopts HUB24’s managed portfolios
Platform provider, HUB24, has partnered with dealer group, Sentry Group, to provide the advice firm with managed portfolios though the group’s Compass Funds offering.
Sentry Group said it had built 10 managed portfolios as part of the offering, which would provide access to both Australian and diversified strategies through foreign portfolio investments.
Sentry Group chief executive, Murray Hills, said it was important for advisers and accountants to collaborate, and that investment decisions should be informed by tax impacts on clients.
He said the offering would allow its advisers to “outsource asset management and portfolio construction to specialist investment managers while still benefiting from the transparency, tax efficiency, and portability provided by the exposure to direct assets”.
HUB24’s modelling tools would also estimate capital gains tax (CGT) when switching from one managed portfolio to another or when selling assets.
“The system nets any assets at the account level, potentially reducing transaction costs and CGT by as much as 50 per cent when moving between managers, if they have substantially the same assets in their portfolios,” he said.
The system would also forecast out 28 days to examine whether the tax position would change if the transaction was postponed for a month, he added.
The platform can also select which tax parcels to trade based on the chosen tax methodology (i.e. minimum gain, maximum gain, etc.) and for any parcels within an account, whether it is discretionary portfolios or those managed by the adviser.
AUTHOR
Malavika Santhebennur
Recommended for you
Money Management examines the share price of financial advice licensees over one year to 31 March, with M&A actions in the final quarter having a positive effect for two licensees.
A $3.5 million settlement for victims of Melissa Caddick has been approved by the Federal Court following an initial agreement last December.
The Reserve Bank of Australia has delivered its first rate decision since the introduction of a new board structure last month.
Digital advice provider Otivo has launched an interactive tool, powered by artificial intelligence and Otivo’s own advice engine, to help answer client questions.
