Blevins Franks advice for cautious investors

I get asked from time to time for fiscal or investment advice and I say every time that qualified specialists are the ones to give answers, not me. In this respect, I frequently refer people to Blevins Franks because they are professional advisers with a solid reputation, global expertise and an international presence. Indeed the firm has just won the awards for the Overall Best Firm and Excellence in Business Strategy from the Best Practice Adviser Awards 2018 – select “Europe” from the drop down box – the first time BF has entered the awards! And so I am happy to pass on the following advice from BF which they typically recommend to cautious clients who are considering lump sum investments, and hope it will be of help to some readers.

We aim to ensure that client monies are in the right place, not just during their lifetimes, but also well positioned tax-wise for their family thereafter.

We consider not just the funds available and the inherent and actual risk attaching to each, but importantly the strength and depth or resources of available companies that can house our client monies.

Many who initially approach us state that they yearn for better returns than bank deposits presently offer which are obviously very low and at present interest rates are typically less than inflation. But they also often note that they don’t want full exposure to the daily ups and downs of purely stock-market options and seek less volatility so they feel they can sleep at night and enjoy their retirement.

At Blevins Franks we particularly focus on getting an in-depth understanding of a persons’ appetite for risk and then have a series of risk-rated investment solutions which we can match against the individual’s needs.

One example that we have found is of interest to some of our clients who are resident in Spain in recent times is provided by Prudential International Assurance (PIA), a company that has an enviable strength rating, a long successful history and a name that is probably one of the most trusted financially in the UK.

The PIA PruFund Growth Fund held within the Prudential International Prudence Bond (IPB – Spain) is a good example of a fund designed for investors with a tolerance to risk of lowest medium (i.e. a tolerance to risk of ‘4’ on a risk scale of ‘1’ to ‘10’) and who are looking for healthy, but not annual double-digit returns.

I have listed the investment returns in recent years below but you should of course bear in mind that the value of investments can fall as well as rise, as can the income arising from them. Past performance should not be seen as an indication of future performance.

Nonetheless this is an example of a fund that I have found provides the right client a good balance between risk and return and can be suitable for generating retirement income from monies invested and also for accessing pension capital dependent on the client’s need and circumstances.

In addition, Prudential IPB (Spain) is recognised and approved as a whole of life assurance contract in Spain and therefore legitimately avoids taxes to a great degree while the PruFund Growth Fund is available in GBP and EURO.

BF has also provided the following fact sheets that show the returns over different time periods.

PIA PruFund GBP and Euro vs FTSE 5 year

PIA PruFund GBP and Euro vs FTSE 10 year

PIA PruFund GBP Oct 3

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