Bridgehouse Asset Managers has announced the launch of the Morningstar Managed Investments Program (MMIP) in collaboration with Morningstar Associates Inc. The program includes a set of five risk-targeted portfolios featuring selected third-party managers of mutual funds, pooled funds and ETFs, said Bridgehouse in a statement issued July 11.
The program is supported by tools, such as an Investor Profile Questionnaire and an Investment Policy Statement to engage investors in risk assessment and promote product suitability said Bridgehouse. MMIP and the portfolios are exclusive to the Bridgehouse Independent Platform, which services financial advisors and their clients.
Independence and impartiality
"More than ever, independence and impartiality are critical values for investor suitability and protection: Morningstar is particularly well respected globally for its impartiality," said Bridgehouse President & Chief Operating Officer, Carol Lynde. "Morningstar's objective selection of top third-party managers – with no proprietary product – differentiates the Morningstar Managed Investments Program from other current fund-of-fund programs."
Morningstar monitors the portfolios and makes adjustments to achieve targeted portfolio weights aligned with five risk profiles: Morningstar Conservative Portfolio; Morningstar Moderate Portfolio; Morningstar Balanced Portfolio; Morningstar Growth Portfolio and Morningstar Aggressive Portfolio.
Frees up advisors
"The managed and single-ticket solution features 'disrupt' cumbersome administration, freeing up advisors so they can devote more time on financial planning for their clients," said Lynde. "It's challenging for an advisor to assemble and manage third-party portfolios like these because of the trading, paperwork and point-of-sale duties," Lynde noted. "It's an enormous advisor benefit for Morningstar to manage the portfolios: manager selection, asset allocation, construction, monitoring and rebalancing."