Isio has launched a model portfolio service (MPS) for wealth managers and financial advisers.

The service has been available in-house since April 2025 and comprises a range of seven outsourced investment portfolios.

These include five multi-asset portfolios, ranging from ‘cautious’ to ‘adventurous’, alongside an equity-focused portfolio and an income-focused portfolio.

Isio will charge an annual management fee of 0.15 per cent, with total costs estimated to be in the region of 0.3 per cent to 0.45 per cent.

The pensions and investment firm said it had launched an MPS in response to a competitor landscape that is “cluttered with solutions that are overly diversified with no conviction, priced expensively in a way that drags on performance, and lacking in clarity with an over reliance on active management”.

It will selectively use active management only in circumstances where Isio believes there is evidence it has consistently proven to add value.

Isio’s MPS is available on several adviser platforms, has been risk mapped by Dynamic Planner and Defaqto, and is live on Mabel Insights, FE Analytics, and Morningstar.

The firm said it would leverage its institutional capabilities and relationships to provide high-quality asset allocation and portfolio construction, and provide access to co-created funds, founder share classes, and alternative assets not typically found in MPS portfolios.

It has made several appointments recently aimed at growing its Wealth business and plans to make further additions as the business evolves.

Private markets investment solutions are expected to be integrated into the MPS in the future.

“We are excited to launch a MPS which channels our institutional innovation and quality in constructing portfolios to provide access to the best managers and funds at fees leveraging our buying power in the pension’s world,” said Isio head of portfolio management and research, Ajith Nair.

“Too many MPS solutions provide expensive, bland exposure with an overreliance on active managers. We prioritise active management only where it has consistently demonstrated an ability to outperform, and we are looking forward to leveraging our expertise and access to offer a sophisticated, low-cost solution to advisers with the full support of our institutional-grade service.”

Isio head of distribution for wealth, Mike Hanlon, added: “We believe our institutional quality, low-cost MPSs are a significant addition to the line-up of current offerings in the MPS market.

“The MPS along with other investment solutions we are developing have the potential to drive a meaningful mindset shift in the industry, which will we believe will lead to better outcomes for retail investors.

“We want to provide something different by offering extensive coverage across asset classes and funds at great value, backed by our proven history of crafting pioneering and cost-effective investment solutions for large institutional clients.

“Our ambition is to grow the breadth of investment opportunities within our MPS over time as our Wealth business evolves, aligned to the latest innovations in the institutional marketplace.”

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