EXPERIENCES WITH QUILTER CHEVIOT DISCRETIONARY WEALTH MAN'T SERVICES- WHETHER GOOD .. OR BAD

Eyeful

I hope you are dealing with the real Quilter Cheviot & not the clone which is on the FCA scam register:-   https://www.fca.org.uk/search-results?search_term=quilter cheviot

Any firm that likes to be thought of as "Wealth Managers" is likely to charge above average fees which all comes out of your pocket and reduces your return.

From pass studies the majority of active funds underperform passive funds. I cannot see why this company should be any different and perform better than average. 

If the amount of money is large and you are concerned about your portfolio, seek advice from a registered Independent Financial Adviser (IFA).

Remember that no one can see into the future and it is hard to beat a major index like the
MSCI or S&P 500. 

Albermarle

Fatinvestor said:

Yes, me and my friends now have most of our savings in long term fixed savings which these days is a good and safe place to be. 

Not really that safe as interest rates are well below inflation, so currently your money is losing around 7% pa in value.
Most likely the gap will shrink during 2023, but most years 'safe savings' lose value and over many years this can be very significant.
It is the main reason why people invest, to try at least to beat inflation. 
Investing for beginners: Why do we invest? - Monevator

wmb194

If you aren't happy with Quilter Cheviot and apparently haven't been for a long time why not just go somewhere else? 

If all you want is for your money to match market returns just do it yourself with a fund or funds that track your chosen benchmark(s).

If it's actually about wealth preservation then you could look at funds like e.g., Capital Gearing Trust (LSE:CGT) and Personal Assets Trust (LSE:PNL).

Fatinvestor

wmb194 said:

If you aren't happy with Quilter Cheviot and apparently haven't been for a long time why not just go somewhere else? 

If all you want is for your money to match market returns just do it yourself with a fund or funds that track your chosen benchmark(s).

If it's actually about wealth preservation then you could look at funds like e.g., Capital Gearing Trust (LSE:CGT) and Personal Assets Trust (LSE:PNL).

Will look at them, thanks. 

Fatinvestor

DannyCarey said:

LOUD NOISES

Odd comment hun. Are you feeling OK? x

Band7

Fatinvestor said:

DannyCarey said:

LOUD NOISES

Odd comment hun. Are you feeling OK? x

Very good comment, methinks

Fatinvestor

Band7 said:

Fatinvestor said:

DannyCarey said:

LOUD NOISES

Odd comment hun. Are you feeling OK? x

Very good comment, methinks

Really. Are you sure that you're Ok 'Band'. Hearing loud noises in your head may be sign of something more sinister hun.

Soarsun

I am new to this forum.

I am very interested to hear if anyone else has had a poor experience with Quilter Cheviot (QC) this past year, particularly in relation to its conduct around the time of the then Chancellor Kwasi Kwarteng’s mini-budget in September 2022.

My discretionary fund manager at QC sold a  third of my portfolio on the day of the budget without reference to me, and contrary to the strategy we had agreed upon. In particular, he sold my long dated gilts on the day the market in such gilts crashed.

I have made a complaint through QC’s formal channels but, despite promises that management was treating my complaint seriously, and would come back to me, I have heard nothing substantive from QC since February.

I have now lodged a complaint with the Financial Ombudsman.

Has anyone else had a similar sort of experience with QC both as to strategy, poor service and lack of communication?    If so, I would really appreciate hearing from you and whether you have come to a resolution with QC.

Albermarle

Hi , for future reference, it is more usual to start your own thread rather than jumping on the back of an old or active one.

My discretionary fund manager at QC sold a  third of my portfolio on the day of the budget without reference to me

As I understand it the arrangement with a DFM is that they do not  have to refer to you first before making any changes in your portfolio. If you worked with an IFA, they would have to check first.

dunstonh

My discretionary fund manager at QC sold a  third of my portfolio on the day of the budget without reference to me, and contrary to the strategy we had agreed upon. In particular, he sold my long dated gilts on the day the market in such gilts crashed.

Portfolios are either run on advisory basis or discretionary basis. 

Advisory basis is cheaper and requires the adviser to inform you that they want to make changes and get your permission for doing so.

Discretionary basis adds in the cost of the DFM and allows them to make changes as and when they see fit without contacting you first.  You get little or no control over the portfolio apart from selecting their particular model.  i.e. they will have a model for each risk profile and probably several for different styles (active, passive, hybrid and ESG).  They rarely do bespoke portfolios.

With advisory, you can influence the structure of the portfolio and control if and when changes occur.  With discretionary you cannot.

I have made a complaint through QC’s formal channels but, despite promises that management was treating my complaint seriously, and would come back to me, I have heard nothing substantive from QC since February.
I have now lodged a complaint with the Financial Ombudsman.

What is your complaint?  

It appears you are complaining that your discretionary fund manager acted on a discretionary basis.  i.e. they did what they are expected to do.

Its a bit like complaining to a butcher that they sold you meat when you wanted fish.

Has anyone else had a similar sort of experience with QC both as to strategy, poor service and lack of communication?  

As a DFM is expected to act as a DFM, then you would expect every customer of every DFM has experienced discretionary decisions as that is the norm.      There is no point paying extra for a DFM if you don't want a discretionary model.   You should stick to advisory.

I doubt your complaint about them acting as a DFM when that is exactly what they are is going to get anywhere (if I have understood your complaint correctly).    You would have thought they could reject your complaint quite easily but they may be struggling to understand why you are complaining and that could be holding them up.  The delay in dealing with your complaint is not ideal but complaining that the portfolio run by a discretionary fund manager is run on a discretionary basis is a non-starter.