Best Execution

You may be aware that ASIC has granted a second market operator licence to CHI-X, effectively ending ASX’s monopoly as the only major venue for trading in Australia.

CHI-X will commence with a limited service offering of six blue chip securities on the 1st of November 2011. This will be expanded over time to include Australia`s 200 largest listed companies.

As a participant of ASX Group, Lonsec has twelve months before it must connect to, and offer trading with CHI-X to its clients. However ASIC requires all brokers to disclose their “best execution” policy to clients by 31st October 2011.

At this stage Lonsec has decided to avail itself of the twelve month window to comprehensively assess system capabilities, and during this assessment period we will continue to provide “best execution” on the ASX market only.

Rating House of the Year: Lonsec reprises top rating

For the second year in succession, Lonsec has been named the Money Management ‘Rating House of the Year’. The score is derived from two surveys – the fund manager ‘Rate the Raters’ survey, from which results were released in June, and a survey of financial advisers.

Amanda Gillespie, General Manager Research, commented “It is extremely pleasing that the hard work and focus of Lonsec’s research team over the past year has been acknowledged. Most importantly, our focus has remained on delivering timely, quality and objective research to our clients, while at the same time ensuring that the research product and service is specifically tailored to meet their needs.”

For more detail, click here.

Lonsec ‘top of the pack’

Money Management has released the findings of its annual ‘Rate the Raters’ survey, in which Lonsec has again rated well among investment managers. Part two of the survey – in which financial advisers are polled – will be released in a month or so.

Maintaining a high standard of research is integral to Lonsec’s business; therefore it’s important that investment managers whose products Lonsec analyses believe that the processes and people behind the research are first-rate. To read the article, click here.

New—fully listed Diversified Direct Model Portfolios

Established in response to increased demand for direct investment, Lonsec’s Diversified Direct Model Portfolios comprise a suite of portfolios, each constructed around a specific risk profile (e.g. Conservative, Balanced, Growth) and each of which aims to provide a diversified portfolio solution based solely on the use of ASX listed securities.

The portfolios utilise Lonsec’s Australian Equity Core Model Portfolio for the Australian equity component, and a range of listed investment companies (LICs) and exchange traded funds (ETFs) for exposure to other asset classes such as global equities, emerging markets, Australian small cap and property. Fixed income exposure is obtained through hybrids, as there is currently no ETF for this sector.

Financial advisers can implement these portfolios for their clients via Lonsec’s stockbroking desk or through Lonsec’s Managed Discretionary Account service.

Download brochure