In this Q&A, Smera Ashraf, the new Head of Global Wealth UK at Aviva Investors, sat down with IFA Magazine’s Brandon Russell to discuss the company’s approach to multi-asset funds and why she’s excited about the third anniversary of the low cost MAF Core range which has proved popular with advisers and their clients.
During the conversation. Ashraf not only discusses the benefits for advisers and their clients of working with Aviva Investors but also explains how the company is ideally placed to provide high-quality multi-asset solutions at competitive prices.
Brandon Russell: What is your role at Aviva Investors, and why did you join the company?
Smera Ashraf: I’m really excited to have joined Aviva Investors to head up our global wealth operations in the UK. It’s an area we’re really focused on growing and where there are two clear areas of focus. One is to support the wealth ambitions of Aviva Group, which includes their recent acquisition of Succession Wealth, their direct-to-consumer platform and the Aviva Adviser platform which are already well integrated into the wealth market in the UK.
Also important for Aviva Investors is having a holistic proposition for the UK wealth marketplace, including the IFA intermediary space. We’ve got the right solutions at the right price to support the advice profession and their clients more broadly and with our focus on wealth, and I’m excited to be a part of this.
Brandon Russell: Why is now such an exciting time at Aviva Investors?
Smera Ashraf:
There are many reasons. For us, we are just about to celebrate our three-year anniversary for our Multi-Asset Funds (MAF) Core range which provides great value as one of the lowest cost solutions in the market at 15bps OCF. Obviously, having a three-year track record is significant and will be of help to advisers in their due diligence, as will the ratings we have received from research houses. Of course, we’ve established a great pedigree in this space, having managed multi-asset solutions for over forty years. This is supported by our multi- asset investment team of over 40 people and has resulted in AUM of over £90billion. It’s our aim to give clients great outcomes at competitive cost.
Our MAF Core range is ideally positioned for the intermediary market. It’s a low cost range of global multi asset funds with a passive investment focus and was originally built in response to what clients were telling us they wanted. Largely, this was to have multi asset funds that had the same institutional rigour that we provide but with a lower-cost.
Over the last three years, we’ve developed great relationships with so many advisers who have been using these funds as effective solutions to meet their clients’ needs. This three-year anniversary makes it very exciting for us to highlight its significant benefits to an even wider audience so that more and more investors will be able to benefit from our expertise.
More broadly, being able to support the UK’s growing professional advice community and their clients with the right products and services is a real driving force for us. We bring broad and deep asset management experience across all major asset classes, with a focus on risk management and competitive pricing – all of which allows us to build strong relationships with intermediaries as well as deliver the products and services they want.
Brandon Russell: What discussions are you currently having with clients, and how are you supporting them?
Smera Ashraf: We always work very interactively with our clients and enjoy regular discussions. Having a
suite of multi asset solutions allows us to have detailed conversations with advisers who have a range of clients with differing needs. For example, one regular topic of conversation is around the use of retirement portfolios to generate regular income and how to create Centralised Retirement Propositions (CRP). Another one is working closely with advisers on and blending solutions in order to create the most appropriate structure for the underlying client.
Recently, another area of particular interest has been in our Multi Strategy Target Return fund which targets an annual return of cash plus five per cent per annum above the central bank rate. We work with clients to help them make the most of the many different types of multi-asset solutions that we can offer to allow them to work in the different client scenarios. This is especially important with the FCA’s Consumer Duty regulations now in place. In addition, so many clients are going through a challenging time with the cost-of-living crisis so conversations to support advisers with their clients on savings have become even more important so delivering the right solutions is crucial.
For me, it is really interesting to have a full range of multi asset solutions as it enables us to work interactively and effectively for clients.
Brandon Russell: Is there an opportunity to disrupt the market?
Absolutely. Three years ago, when we launched our MAF Core fund range, we priced it quite aggressively and it was a disruptor in the market. At that point, it was one of the lowest cost solutions in the market yet provided sophisticated investment management expertise, which was all possible because we had the scale, pedigree, and heritage to offer great products at great prices.
Aviva are one of the UK’s largest pension providers and Aviva Investors is a core manager which means we have huge scale and expertise in-house. Extending that externally was straightforward for us and meant we could do so at a very competitive price – something we’re incredibly proud of and which still remains highly competitive to this day.
I believe this is the benefit of being part of such a large group and having considerable scale and expertise. Whilst the MAF Core fund range was disruptive at the time of launch, we still believe it to be disruptive.
Brandon Russell: How important is acting and investing responsibly at Aviva Investors?
It’s hugely important – responsibility is built into everything we do. We have an incredibly strong commitment and reputation for sustainability which has been developed over many years and which we are very proud of. Our MAF Core products benefit from ESG integration but we also tilt towards better ESG scores vs the benchmark in the portfolios and we do that at no extra cost to the client.
Bringing in ESG research and capability is part of our heritage and DNA. We believe that acting and investing responsibly doesn’t just make financial sense but it also helps to create a sustainable future for us all.
For more information about Aviva MAF Core, please click here
About Smera Ashraf:
Smera is Head of Global Wealth – UK and is responsible for driving growth across the UK wealth business, working across all channels including UK intermediaries, Discretionary Wealth and Global Financial Institutions.
Smera joined Aviva Investors in July 2023 from HSBC Asset Management. There she led the UK retail distribution teams for 3 years and more recently spent time in HSBC Asset Management’s central Sustainable Office as their Global Commercial Sustainability Manager focusing on sustainable propositions for their clients.
Prior to her commercial and sales role, her background is in Business Strategy and Management in both wealth and asset management. Smera holds a BSc (Hons) in Mathematics from The University of Manchester, Is IMC qualified and completed The Sustainable Leadership programme at Imperial College London.
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Except where stated as otherwise, the source of all information is Aviva Investors Global Services Limited (“Aviva Investors”). Unless stated otherwise any opinions expressed are those of Aviva Investors. They should not be viewed as indicating any guarantee of return from an investment managed by Aviva Investors nor as advice of any nature. The value of an investment and any income from it can go down as well as up. Investors may not get back the original amount invested.
The Aviva Investors Multi‐asset Funds comprise two ranges, each with five funds (together the “Funds”):Aviva Investors Multi-asset Plus Fund range comprises the Aviva Investors Multi‐asset Plus Fund I (“MAF Plus I”), the Aviva Investors Multi‐ asset Fund Plus II (“MAF Plus II”), the Aviva Investors Multi‐asset Plus Fund III (“MAF Plus III”), the Aviva Investors Multi‐asset Plus Fund IV (“MAF Plus IV”) and the Aviva Investors Multi‐asset Plus Fund V (“MAF Plus V”) Aviva Investors Multi-asset Core Fund range comprises the Aviva Investors Multi‐asset Core Fund I (“MAF Core I”), the Aviva Investors Multi‐asset Fund Core II (“MAF Core II”), the Aviva Investors Multi‐asset Core Fund III (“MAF Core III”), the Aviva Investors Multi‐asset Core Fund IV (“MAF Core IV”) and the Aviva Investors Multi‐asset Core Fund V (“MAF Core V”).
The Aviva Investors Multi-Asset Funds and the Aviva Investors Multi-Strategy Target Return Fund are sub funds of the Aviva Investors Investment Funds ICVC. For further information please read the latest Key Investor Information Document and Supplementary Information Document. The Prospectus and the annual and interim reports are also available on request. Copies in English can be obtained free of charge from Aviva Investors UK Fund Services Limited, St Helen’s, 1 Undershaft, London EC3P 3DQ. You can also download copies from our website. Issued by Aviva Investors UK Fund Services Limited. Registered in England No 1973412. Authorised and regulated by the Financial Conduct Authority. Firm Reference No. 119310. Registered address: St.Helen’s, 1 Undershaft, London, EC3P 3DQ. An Aviva company.
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