A brief introduction to Investment Services

At Financialsmiles we have listened to what you wanted from a website featuring on-line investment.

Research Investments

You can in your own time research the whole market place by using Morning Stars portfolio planner to: compare funds, charges, performance, holdings, build and create your own confidential portfolio.

This is just for information purposes only. Please seek Independent Financial Advice before you make investments.

Risk Profile

As a reminder it is useful to view a scale of risk and we have listed the various categories for guidance only.

Risk Profile Definitions

No risk

A no-risk investor is looking for an investment where the probability of any fall, and the size of any fall, in the value of their capital over a relatively short period of time is low (in relation to inflation only) or non-existent.
The return is likely to be consistent with that available from a high street deposit account. There would be no potential for loss of capital other than the fact that the risk that inflation may reduce the real value of the investment.

Conservative

A conservative investor is looking for an investment where any fluctuation in the value of the investment would be small. A conservative investor is uncomfortable if the investments were to rise and fall in value rapidly.
The return should be just slightly better than that available from a high street deposit account. Capital preservation (or the potential to minimize capital loss) is still a high priority.

Cautious

A cautious investor is looking for an investment which is likely to keep pace with, or exceed inflation. The cautious investor is more concerned with capital preservation than he is with growing the portfolio significantly.
The return may be better than a deposit rate but may experience a little volatility in the short term. The longer term prognosis is for steady and secure growth. Capital loss is a possibility but is unlikely to exceed 10%.

Balanced

A balanced investor is looking for a balance between risk and reward, seeking higher returns than inflation. The balanced investor is able to accept a degree of risk in order to achieve these returns but will usually seek to control the level of risk through diversification. The returns may fluctuate in the short term but should provide a return to exceed inflation over the medium to longer term. Capital loss is a possibility but the likelihood of this will reduce the longer the term of the investment.

Adventurous

An adventurous investor is willing to accept a higher level of risk in return for higher returns over the longer term. This investor is willing to accept a good amount of fluctuation in the value of their investments. If the value of the investment fell by more than one quarter in a year, the investor would see this as a time to ride out the storm rather than a time to purchase more. The return is likely to far exceed inflation and deposit accounts but, in return, there may be large swings in the value of the investment in the short term. Capital loss may occur and may be significant due to the more volatile nature of the investments.

Speculative

A speculative investor is willing to accept a very high level of risk in return for higher returns over the longer term. This investor is willing to accept a significant amount of fluctuation in the value of their investments. If the value of the investment fell by more than one quarter in a year, the investor would see this as an opportunity to purchase more because of the cheaper asset values. The returns from this investment are unpredictable. In the longer term the client may expect a high rate of return but there is likely to be a high degree of volatility and large swings in the value of the investment in the short term. Capital loss may occur and in the worst case scenario may involve total loss of capital.


Stuart Miles t/a Financialsmiles is an appointed representative of Sanlam Partnerships Ltd. which is authorised and regulated by the Financial Conduct Authority
FCA No. 226298. To purchase products/services from this site you must be over 18 years and a UK resident.