This step-by-step summary explains how to build and edit model portfolios on the X-Hub. The X-Hub is the portal for advisers with discretionary permissions or discretionary investment managers (DIMs). Using X-Hub, discretionary investment managers can run their model portfolios and publish them for advisers with whom an agreement is in place, so that the adviser can invest on behalf of their clients.
What you’ll need to get started
- Access to the Old Mutual Wealth X-Hub/Discretionary Investment Manager (DIM) portal.
Building a model portfolio on X-Hub
① From the homepage, click on the ‘Model portfolios’ tab.
- To create a new model, click ‘Create New’.
- To edit an existing model, search for the one you want and click ‘Edit’.
- Any existing models will appear on the screen.
- The processes that follow are the same whether you are creating a new portfolio or editing an existing one. The only difference is the starting point, as explained above.
② Complete all the mandatory fields (marked with a red asterisk).
- Pop-ups show which options are available on each field.
③ You have the option to create a benchmark then click ‘Next’ to move on to the investment choice.
- You can choose a model benchmark to compare your model and its performance against.
- Alternatively you can decide not to choose a benchmark and your model is then not compared against anything.
- At any stage you can exit with or without saving if you wish.
④ The next screen shows the assets making up the portfolio. You can search for assets using the search function or upload an excel file using the download option and then follow the on-screen instructions.
- If you’re using the search function, choose the fund manager(s) from fund manager dropdown and click ‘Search’ to find the funds you want. Add the percentage allocation you want to invest in the fund and click ‘Select’ to add it to the portfolio. Repeat for all required funds.
⑤ Click ‘Next’ to move on to rebalancing.
- You can set parameters around when a rebalance may be triggered, or as a manual rebalance.
- Auto-rebalance does not stop you manually rebalancing if required. Instead, it sets additional timeframes for your models to be auto-rebalanced in line with these parameters.
- You can rebalance manually by allocation percentage, asset, and total allocation.
- Click on the dropdown links on the rebalancing triggers to provide an overview of each and click on each to show additional fields that need completing.
⑥ Click ‘Next’ when you have completed all the rebalancing options taking you through to the analysis section.
- Here you can add and remove a range of documents to be uploaded against the model portfolio that can be viewed on the Old Mutual Wealth technology platform.
- This means advisers using your models can obtain relevant documents, for example Key Investor Information Documents (KIIDs), factsheets, and stock notes.
⑦ Click ‘Next’ to move to the performance section which shows the performance of the funds held by the model portfolio.
- Performance is broken down into three sections: cumulative, a discrete 12 month period, or a discrete quarterly period.
- X-Hub will classify investments into one of six asset classes. Investments which do not fall into one of the specified asset classes will be classified as ‘Other’.
- Asset class information for each investment is at the day the user is viewing the analysis page.
- Sector weightings will also be visible. X-Hub will display the top ten sectors, plus an unknown sector. Investments which do not fit into any of these will be classified as ‘Remaining Sectors’.
- The top 10 underlying holdings are also displayed as well as a series of ratios.
⑧ Click ‘Next’ to move to permissions. This allows you to allocate the model to all users on the Old Mutual Wealth technology platform, or select just those firms (advisers) who hold terms with the DIM.
⑨ Click ‘Next’ to move to product wrappers. This section allows you to choose which wrapper or product the portfolio will be available to invest in.
- If the portfolio contains assets unavailable to a particular wrapper or product the tick box will be disabled.
⑩ Click ‘Next’ and move onto the charges section to allocate the percentage rate to charge clients invested in the model portfolio on a regular basis.
- You can choose to apply the same default charge rate to all clients or change the charge rate according to the advice firm, depending on your agreements.
⑪ Click ‘Next’ and move on to income strategy where you can select how future rebates are reinvested into the portfolio.
- The income produced from the funds within a DIM model will only be able to be returned to the product or wrapper. The adviser and client can decide what to do with the income.
⑫ Click ‘Next’ to review and submit. You can review the model portfolio and save and exit, or go back and edit information if needed.
⑬ Click ‘Create Model’ and it will now be available to users with appropriate permissions.