Fidelity Investments Canada Ltd. has launched an online portfolio construction tool to help Canadian financial advisors build custom portfolios for their clients.
Powered by Morningstar, Fidelity PortfolioPro is now available on www.fidelity.ca and financial advisors require only a dealer rep code to access it.
Fidelity says the software was designed to help advisors ensure their clients’ portfolios are optimally diversified and well-balanced. It Incorporates the essential elements of portfolio construction including asset allocation, market capitalization, management style and fund correlation.
The tool offers advisors:
- Morningstar’s data on 4,500 mutual funds available to Canadian investors;
- more criteria by which to search for and screen funds;
- countless ways to mix a portfolio;
- comparisons against recommended portfolio models; and
- a professional, customizable portfolio proposal the advisor can share with clients.
“Portfolio construction is one of the most important pieces of an advisor’s work for their clients and also the most time consuming,” said Jennifer Ball, vice president, Distribution Marketing. “PortfolioPro has been designed to make that job much easier for advisors.”
The software offers five model portfolios that advisors can use as a foundation, ranging from most conservative to most aggressive. From there, advisors can tailor portfolios by adding and deleting funds from Morningstar’s database. They can adjust asset weightings and then compare the asset mix of the custom portfolio with the model. The tool even provides analysis at the security level, measuring asset allocation percentages on the individual securities of the portfolio’s funds.
The search function enables advisors to search for funds by name, or based on different combinations of fund characteristics such as quartile rankings, fund company, or IFSC category. Clients will get a custom portfolio, tailored to their individual needs and objectives.
To support the software, a series of online learning modules have been added to fidelity.ca. The modules examine the elements of portfolio construction in detail. Successful completion of the modules and quiz will earn advisors one CE credit.