Investment Mandate
Self Invested Personal Pension
Investment Mandate
Self Invested Personal Pension
Investment Mandate
This document sets out the investment approach and policies of your Investment Mandate for your Self Invested Personal Pension
(“SIPP”) Portfolio with Schroder & Co. Limited, trading as Cazenove Capital Management.
In defining your view of risk we draw your attention to the risk warnings set out in Appendix 1 of our Terms of Business (the “Terms”).
Please refer to the Terms for the definition of capitalised terms used in this document.
Name of SIPP provider
Name of Portfolio
Please select the service type for this Portfolio
Please select the base currency for this Portfolio
Discretionary Investment Management
Sterling
Investment Advisory
Euro
Execution-only
(If execution-only please go straight to page 7)
US Dollar Other Aims and objectives of this Portfolio
Please describe the role or objective of this Portfolio in the context of your overall wealth
Please indicate the expected time horizon for your Portfolio
Less than one year
Between one and five years
Between five years and ten years
Longer than ten years
Income and payments
Please indicate if you require regular income or payments from the Portfolio
No income or payment requirements
Yes, but I am not reliant on income or regular payments from the Portfolio
(Please provide details in the Income and Payment Requirements section on page 7 of this Investment Mandate)
Yes, and I am reliant on income or regular payments from the Portfolio
(Please provide details in the Income and Payment Requirements section on page 7 of this Investment Mandate) Please indicate if you intend to make any regular or significant withdrawals from this Portfolio in the foreseeable future
No
Yes. (If so, please provide details on page 7)
Note: There may be tax consequences when withdrawing capital from your SIPP. Please refer to the SIPP provider’s literature and take
specialist advice.
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Investment Mandate
Self Invested Personal Pension
Your willingness to take investment risk in this Portfolio
When thinking about the amount of risk you are willing to take, please consider if this Portfolio is to be looked at in combination
with other Portfolios managed by us, or if this Portfolio is to be managed on a stand alone basis. If the Portfolio is to be managed
in conjunction with other Portfolios, please answer all questions with the combined investment objective and risk tolerance in mind.
Portfolios to be managed in aggregate will be confirmed in writing to you and will be updated as required.
Please indicate which of the following most accurately reflects your views toward risk and return for this Portfolio
I want to keep the capital safe and will accept commensurately lower returns available from low risk investments
I am risk averse but will accept a limited degree of risk in order to grow my assets in line with inflation over the medium to long term
I am willing to accept a moderate degree of risk in order to grow my assets marginally ahead of inflation over the medium to
long term
I am willing to accept a higher degree of risk in order to grow my assets materially ahead of inflation over the medium to long term
I am seeking to maximise returns and am willing to accept a high degree of risk in order to target this objective
Investment Objective for the Investment Mandate
Please indicate your investment objective and associated risk tolerance
These descriptions apply to the Portfolio and its contents. When describing the asset allocation ranges below, this relates to the
underlying holdings and, in the case of some multi-asset pooled vehicles, would include the underlying breakdown of the holdings
within these vehicles.
Cash and Cash Equivalents portfolio
Risk tolerance
Objective: Security of capital with income reflecting the interest
Low
rate environment
For clients who wish to preserve the value of their cash with very limited
Illustrative range of returns – historic
risk to the capital value. Deposits will be with Schroder & Co. Limited
40.0%
or with third party banks and building societies. Investments will only
be made in cash and cash equivalent assets, such as liquidity funds,
30.0%
and government-issued or government backed bonds. While there is
20.0%
very limited market risk associated with the above investments, in the
longer term it is likely that the real value of the Portfolio will be eroded
0.0%
over time by inflation.
Cash and cash equivalents
Cash
Fixed income (less than 3 years maturity)
10.0%
Range
-10.0%
0% – 100%
-20.0%
0% – 50%
-30.0%
Equities
0%
Alternative investments
0%
High
Median
Low
15.1%
5.4%
0.3%
1y rolling
9.6%
5.3%
2.0%
10y rolling
The above illustrates the range of historic returns using a
100% cash weighting, based on 30-year historical data.
Please note that historic cash returns are much higher than
currently available and we do not expect this to change
significantly in the foreseeable future.
Source: Datastream. Indices: UK Treasury Bill 3 month.
Past performance is not a guide to future performance.
Details of the underlying assumptions are available
on request.
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Investment Mandate
Self Invested Personal Pension
Cautious portfolio
Risk tolerance
Objective: Limited capital growth and income with a combined return
Low to medium
in excess of cash and short dated government bonds
For clients who wish to preserve capital and to outperform cash and
Illustrative range of returns – historic
short-term government bonds while only subject to a limited amount
40.0%
of equity-type risk. The Portfolio may contain a small proportion
of higher risk investments such as equities and some exposure to
non-base currency markets. Cash, fixed income investments and
other lower volatility investments are likely to form a significant part of
the Portfolio. Less liquid assets are considered part of the investable
universe but they will be kept to a minimum. The risk of capital loss
may be limited in the longer term but there is a risk that the real value
of the Portfolio will be eroded over time by inflation.
Fixed income
High
Median
Low
20.0%
18.4%
10.0%
11.4%
6.0%
3.2%
7.2%
0.0%
-10.0%
-5.8%
-20.0%
Cautious
Cash
30.0%
Range
-30.0%
1y rolling
0% – 30%
30% – 60%
Equities
0% – 40%
Alternative investments
0% – 40%
10y rolling
The above illustrates the range of historic returns using a
constant equity weighting of 30% and a cash weighting of
70%, based on 30-year historical data.
Source: Datastream. Indices: MSCI UK & UK Treasury Bill
3 month.
Past performance is not a guide to future performance.
Details of the underlying assumptions are available
on request.
Balanced portfolio
Risk tolerance
Objective: Modest capital growth and income with a combined return
Medium
modestly above inflation in the longer term
For clients who wish to achieve investment returns in excess of cash
and government bonds, can tolerate moderate equity-like investment
risk and accept there is a risk of capital loss as capital markets
Illustrative range of returns – historic
40.0%
fluctuate. The Portfolio will use a broad range of assets on both a
30.0%
long term and an opportunistic basis in order to pursue its objective
20.0%
including an allocation to equity, or equity-like investments and
non-base currency investments. There is always likely to be a material
allocation to cash, bonds and other defensive assets. Whilst the
majority of the Portfolio is invested in readily tradable assets, less liquid
assets are considered part of the investable universe. The aim of the
0.0%
-10.0%
Portfolio is that, in the longer term, the value of the assets should be
protected against the impact of inflation.
-30.0%
Cash
Range
0% – 20%
Fixed income
20% – 50%
Equities
25% – 60%
Alternative investments
4
0% – 35%
23.4%
10.0%
-20.0%
Balanced
High
Median
Low
8.4%
12.7%
6.4%
2.8%
-12.1%
1y rolling
10y rolling
The above illustrates the range of historic returns using a
constant equity weighting of 50% and a cash weighting of
50%, based on 30-year historical data.
Source: Datastream. Indices: MSCI UK & UK Treasury Bill
3 month.
Past performance is not a guide to future performance.
Details of the underlying assumptions are available
on request.
Investment Mandate
Self Invested Personal Pension
Growth portfolio
Risk tolerance
Objective: Capital growth and income with a combined return
Medium to high
in excess of inflation in the longer term
For clients who wish to maximise long term investment returns,
Illustrative range of returns – historic
can tolerate a level of risk approaching that of global equity markets.
40.0%
There is a risk of capital loss as capital markets fluctuate. The Portfolio
will use a broad range of investments on both a long term and an
opportunistic basis and may allocate a high proportion of its assets
to equity, or equity-like investments including non-base currencies in
pursuing its aims. Whilst the majority of the Portfolio is invested in readily
tradable assets, illiquid assets are considered part of the investable
universe and the Portfolio may have some exposure. Cash, fixed income
and other defensive assets will normally account for only a small part of
the Portfolio. The aim of the Portfolio is, in the longer term, to grow the
Growth
Range
Cash
0% – 20%
Fixed income
0% – 30%
Alternative investments
High
Median
Low
50% – 80%
0% – 30%
30.7%
20.0%
14.0%
9.8%
10.0%
0.0%
6.8%
1.9%
-10.0%
-18.1%
-20.0%
-30.0%
value of the assets in excess of inflation.
Equities
30.0%
1y rolling
10y rolling
The above illustrates the range of historic returns using a
constant equity weighting of 70% and a cash weighting of
30%, based on 30-year historical data.
Source: Datastream. Indices: MSCI UK & UK Treasury Bill
3 month.
Past performance is not a guide to future performance.
Details of the underlying assumptions are available
on request.
Aggressive portfolio
Risk tolerance
Objective: Capital growth and income with a combined return
High
significantly in excess of inflation in the longer term
For clients who wish to maximise investment returns, can tolerate risk
similar to, and possibly greater than, global equities. The Portfolio uses
a broad range of assets on both a long term and an opportunistic basis
Illustrative range of returns – historic
40.0%
in order to pursue its objective, and may have exposure to non-base
30.0%
currencies. Holdings in fixed income, cash and other defensive assets
20.0%
are likely to be minimal. The Portfolio will be volatile and there might be
significant risk of capital loss as capital markets fluctuate in order
to achieve the longer term objective. Whilst the majority of the Portfolio
will be invested in readily tradable holdings, illiquid investments are
considered part of the investable universe and the Portfolio may have
10.0%
the value of the assets should grow significantly in excess of inflation.
-30.0%
Cash
0% – 10%
Fixed income
0% – 40%
Equities
Alternative investments
60% – 100%
0% – 40%
15.6%
11.1%
7.3%
0.5%
-10.0%
-20.0%
Range
38.6%
0.0%
some exposure. The aim of the Portfolio is that, in the longer term,
Aggressive
High
Median
Low
-25.3%
1y rolling
10y rolling
The above illustrates the range of historic returns using a
constant equity weighting of 95% and a cash weighting of
5%, based on 30-year historical data.
Source: Datastream. Indices: MSCI UK & UK Treasury Bill
3 month.
Past performance is not a guide to future performance.
Details of the underlying assumptions are available
on request.
5
Investment Mandate
Self Invested Personal Pension
Specialist mandate
If none of the portfolios above meet your investment requirements, please provide a detailed description of the investment objective below
Please indicate below the risk tolerance that most closely fits that of the specialist mandate you require
Low
Low to medium
Medium
Medium to high
High
Additional requirements
Please note that there are restrictions on SIPP portfolios automatically applied in order to comply with relevant legislation. Please describe
any additional restrictions you wish to apply to the Portfolio
In order to provide an appropriate method of evaluation and comparison, we will report the Portfolio’s performance against relevant
equity and bond indices. If you would like the Portfolio’s performance to be reported against a specific index or benchmark, please
provide details below
Custody
Schroder & Co. Limited will be the custodian of the assets. Should you wish to appoint an External Custodian please confirm this to us
in writing.
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Investment Mandate
Self Invested Personal Pension
Income and Payment Requirements
Income will be paid in the Portfolio’s base currency, except where multi currency accounts are specifically agreed with us. Income will
automatically be credited to the Portfolio’s Investment Deposit Account unless you instruct otherwise in writing.
To enable us to provide for withdrawals and maintain an appropriate asset allocation, please provide your gross annual income
requirements below
Gross income requirement per annum
(please enter nil if no regular withdrawal is required)
Please also give details of anticipated lump sum distributions and their likely timing. If there are any changes to this information advise
your regulated intermediary, where applicable, and us immediately
Where we use hedge funds or funds of hedge funds, it should be borne in mind, when requesting withdrawals, that sales and
settlement of such funds can take several months.
Important Clients requiring high levels of income should note that within asset classes there may be a preference for higher-yielding
investments and some low yielding assets may be avoided altogether, to the possible detriment of capital growth.
Standing Instructions
If you wish to make any withdrawals from your SIPP Portfolio, you must give instructions directly to the SIPP provider. If you have any
other income or payment requirements, please provide details below
Note: There may be tax consequences when withdrawing capital from your SIPP. Please refer to the SIPP provider’s literature and take
specialist advice.
Fees and Charges
The Fee Schedule contains details of the fees, costs and expenses which are payable in relation to our services.
Where we provide discretionary investment management or investment advisory services, please select the fee basis for this Portfolio
below.
Fee and Commission Rate
Combined Rate
The Services and Costs Disclosure Document entitled “about our services and costs” sets out the charging options for our wealth
planning services.
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Investment Mandate
Self Invested Personal Pension
Reporting to you
We will provide you with a Performance and Valuation Report for your Portfolio on a quarterly basis and a UK Tax Report on an annual
basis. In addition, all advisory and execution-only Portfolios will be sent a transaction advice after each trade.
Please indicate if you require a transaction advice after each trade on a discretionary Portfolio
Should you wish to be sent valuations more or less frequently (minimum is six monthly), or should you wish to receive additional reports,
please indicate your requirements below
Our reports can be provided as a paper report, as an electronic report using Online Services (please refer to Section 8 of our Terms) or in
both formats.
Online Services
Our online system, eServices, provides access to both your Portfolio information and valuations. The system allows you to request, run
and view reports for your Portfolio when you wish. It provides the same information as paper reports as well as allowing you to generate
reports on any Business Day. It is a safe and secure way for you to view Portfolio information and can also be accessed from mobile
devices. If you select this service, you will be sent three security credentials (an RSA SecurID, UserID and a PIN number) to enable
access to the system.
If you want to use our Online Services please indicate here
Paperless service
By electing for the paperless service, you acknowledge that you will not receive any transaction advices, account statements or
reports by post for any of your Portfolios. The paperless service does not affect other communications between us which will continue
in accordance with our Terms. You acknowledge that a message will be posted in the online system to notify you when you next log
in if a new item is available to view. You acknowledge that making items available electronically in our online system shall be deemed
delivery by us at the time of posting. We recommend that you check regularly for new items and review the content of your advices and
statements promptly.
If you want the paperless service please indicate here
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Investment Mandate Self Invested Personal Pension
Reporting to third parties
Please indicate if you would like us to provide your Accountant/Legal Adviser/Financial Adviser (see my/our Client Information and
Appointment Form) with any of the reports below
Accountant
Legal Adviser
Financial Adviser
Performance and Valuation Report
Valuation Report only
Annual UK Tax Report
Please provide this report in: Paper
Online
Both Paper and Online
Performance and Valuation Report
Valuation Report only
Annual UK Tax Report
Please provide this report in: Paper
Online
Both Paper and Online
Performance and Valuation Report
Valuation Report only
Annual UK Tax Report
Please provide this report in: Paper
Online
Both Paper and Online
Additional reporting name and address (if required)
Please indicate which reports should be provided to this additional address
Performance and Valuation Report
Valuation Report only
Annual UK Tax Report
9
Investment Mandate
Self Invested Personal Pension
Confirmation
You confirm that this document forms part of the Agreement between you and us, Schroder & Co. Limited, trading as
Cazenove Capital Management.
You confirm that the information provided in this document is complete and accurate and accept that the failure to provide some or all
of the information requested in this form may affect adversely our ability to assess the suitability of your chosen Investment Mandate
against your personal and financial circumstances.
You understand that the SIPP provider has agreed terms and conditions with us in relation to all SIPP portfolios that we manage for that
SIPP provider and agree that those terms will prevail when in conflict with any terms you have agreed with us.
You authorise us to rely on the instructions set out in this document.
You confirm that you have read the risk warnings in Appendix 1 of the Terms.
Name:
Name:
Signature:
Signature:
Date:
Date:
Please note: We recommend that you keep a copy of these forms. Please tick if you would like us to send you a copy.
Agreement by regulated intermediary (if applicable)
We, the regulated intermediary, have read and agree to the Terms insofar as they relate to us, including (if applicable) the use
of Online Services. We confirm that we act for the Client as financial adviser and will continue to do so notwithstanding that the Client
has entered into an agreement with you. We accept that we are and will continue to be responsible for assessing the suitability of the
Client’s Investment Mandate for the duration of our relationship with the Client. We will notify you immediately should our relationship
with the Client terminate or we cease to be authorised by an appropriate regulatory authority.
On the basis of the suitability assessment we have undertaken for the Client, we consider the Investment Mandate set out in this
document to be suitable for the Client. If at any stage in the future our continuing assessment of what is suitable for the Client
indicates that the Investment Mandate requires alteration we will let you know immediately. We maintain sufficient personal and
financial information to enable us to advise the Client and determine the suitability of the Investment Mandate as required by the
regulator.
Name of firm:
Firm reference number:
Signed:
Name:
Dated:
10
Regulator:
Schroder & Co. Limited
12 Moorgate, London EC2R 6DA
T +44 (0) 20 7658 1000 | F +44 (0) 20 7658 3827
www.cazenovecapital.com
January 2016
Cazenove Capital Management is a trading name of Schroder & Co Limited. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct
Authority and the Prudential Regulation Authority. Registered Office: 31 Gresham Street, London EC2V 7QA. Registered Number 2280926 England. For your security,
communications may be taped or monitored. N005.