Quilter Cheviot has expanded the availability of its International Managed Portfolio Service (MPS) to international clients through the Morningstar Wealth Platform.

As part of the launch on Morningstar’s platform, the International MPS has adopted the ‘Building Blocks’ approach used on Quilter Cheviot’s UK MPS.

This approach, which was launched in the UK in 2021, is made up of internally managed funds, spanning equities, fixed income, and alternatives.

These funds are now available within Quilter Cheviot’s International MPS through feeder funds on the Morningstar Wealth Platform, giving international financial advisers access to the approach and facilitating investment into the Building Block ‘master funds’ used in Quilter Cheviot’s UK MPS.

The range of feeder funds includes four equity funds (North America, UK, Europe, and Asia and emerging markets), two fixed income (fixed interest and conservative fixed interest) and two alternatives (diversified returns and alternative assets).

Quilter Cheviot added that externally managed funds also continue to play a “key role” in the MPS construction.

The firm also announced that the International MPS management fee for clients invested through the Morningstar Wealth Platform has been reduced from 0.3 per cent to 0.25 per cent.

“Building Blocks has been received very positively by financial advisers and their clients in the UK,” said Quilter Cheviot head of MPS, Simon Doherty.

“We are delighted to be able to bring the benefits to our international partners and harmonise the two ranges. Constructing the underlying investments in this way allows us to access asset classes not usually available within an MPS structure.

“With the strength and depth of our research teams across equities, fixed income and externally managed funds, we can swiftly adjust individual investment ideas without the need for a headline rebalance.”

Quilter head of MPS investment funds, Antony Webb, added: “This approach brings a number of benefits to advisers and their clients, particularly in the enhanced reporting we can now provide as the appointed investment manager of many of the underlying holdings.

“This offers considerably more detail on the composition of a client’s portfolio and their specific exposures.

“This move has also allowed us to lower costs for the end investor without compromising the active nature of the proposition. Our hybrid unitisation approach ensures clients get the best of both worlds when it comes to MPS and multi-asset funds.”

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