Foster Denovo and Allium Capital Launch ‘Sequel Investments’

LONDON -

- New Investment Company Aims to Offer Foster Denovo Advisers and Their Clients Greater Clarity, Consistency and Control in the Investment Process.

- Using Praemium’s SMARTfund Structure, a new Breed of Authorised Unit Trust.

- Sequel Makes Fund Managers More Accountable.

- Best of Breed Solution.

National Advisory group, Foster Denovo, has launched a new investment company; Sequel, www.sequelinvestments.com, in a joint venture with Allium Capital.

Both companies believe that Sequel will move advisers and their clients nearer to the heart of the investment process, as it aims to provide greater levels of clarity, consistency and control than are normally associated with similar investment products.

At the heart of the Sequel proposition is Praemium’s SMARTfund Structure, which uses Separately Managed Account (SMA) technology to deliver a more enriched client experience.

Sequel will sponsor a range of risk rated funds, tailored to meet specific client risk profiles. Each will have a risk budget which appointed fund managers must not exceed, and a targeted level of return.

Some of the best-known investment management firms have been appointed to the funds:

- The Cautious Fund - Sarasin & Partners - The Balanced Fund - Schroder Investment Management - The Adventurous Fund - Henderson Global Investors

Sequel not only believes that a strong fund management team is essential but also that the fund managers should be accountable for their performance. As such, should they fail to perform as agreed they can be replaced, thereby moving the manager rather than the client’s money. Sequel believes this is more efficient as it does not expose clients to reinvestment charges or a possible tax liability.

Sequel funds will be run on a multi-asset, multi-manager basis and the fund managers will have the freedom to move across asset classes as they see fit in order to meet their mandates, gaining exposure to alternative investments including property, commodities and hedge funds should they require it. They will be able to adapt to market conditions quickly and simply, and even move into lower cost vehicles such as Exchange Traded Funds (ETFs) to save costs in slower markets. The funds will also have access to institutional fund pricing in order to keep overall costs down.

The Sequel funds are SMARTfunds - a new breed of authorised unit trust that uses (SMA) technology - with SMARTfund Administration Limited as the FSA authorised fund operator. This relatively new concept in the UK brings clients and advisers more clarity over the underlying assets in each fund. SMARTfunds also allow for adviser charging agreed with individual customers in line with the likely direction of travel for the impending Retail Distribution Review (RDR). This gives Foster Denovo Partners a head start in adapting to the impending regulatory changes.

Commenting on the launch, Roger Brosch, CEO of Foster Denovo, said: “We are delighted to have such a strong proposition to bring to our Partners and their clients and believe it sets a new standard for the advisory industry.

“It has been a long road for us to get here but we have refused to compromise and as a result have built a fantastic offering. I am thrilled by the quality of the fund managers who obviously share our commitment to putting clients first; I think it speaks volumes for the direction of travel in the industry.

“I am also pleased that we have given our Partners the tools to keep growing their businesses through the regulatory changes which lie ahead. The proposition as a whole will also help us to continue developing our commitment to treating customers fairly, which is hugely important to the Foster Denovo Board.”

Ronan Kearney, managing director of Allium Capital Ltd, added: “We are delighted to be partnering with such a high quality group as Foster Denovo, and rolling out a proposition which - we believe - represents a new chapter in retail fund management. We look forward to being part of a process designed to deliver greater levels of transparency to the customer.”

Notes to editors

About Foster Denovo Limited:

Foster Denovo is a national IFA providing both corporate and private clients with advice on: wealth management, employee benefits and private finance.

Authorised and regulated by the Financial Services Authority and established in 2005, Foster Denovo is owned, almost in its entirety, by its partners and staff. The board believes this creates a stakeholder culture, which forms the basis of the company’s values.

Foster Denovo is dedicated to setting the standard for private client service in the financial services industry, and to building client relationships that will last a lifetime.

About Allium Capital Limited:

Allium Capital Ltd (’the Company’) is a new company with a clear vision of the future for retail financial services. Allium is privately owned and completely independent of any product manufacturers.

Allium Capital is recognised for its innovative approach to improving products, and is retained for its skills in structuring, advising on, and launching ‘next generation’ fund management companies.

Allium Capital works with leading financial services companies to help them leverage their relationships with clients. The Company delivers solutions for distributors of financial products that are seeking to enhance both their customer proposition, and their own business value.

The Allium Capital proposition helps its partners build a more robust business model that offers greater flexibility, transparency and profitability. The company’s business model also allows fund managers to tap into new distribution models.

Allium Capital Ltd services: - Consultation, planning and implementation - Delivery of next generation investment companies - Marketing, training and ongoing support for partners

The founders of Allium Capital have over 50 years held in senior positions within fund management, stock broking, and distribution companies.

Allium Capital Ltd partners with companies that are recognised leaders in their field including Dexion Capital plc, Openwork, Threadneedle, IFDS Managers Ltd, Gartmore, Clarkson Hill Group, Schroders, Sarasin Partners, Praemium Ltd and Memery Crystal Llp.

LONDON, September 18 /PRNewswire/ –

Source: Foster Denovo Limited and Allium Capital Limited

For further information, interviews and photography, please contact: Foster Denovo Limited, Katrina Suppiah / Kate Alexander, Publicité, Tel: +44(0)20-8543-6582 / +44(0)20-8543-8481, Email: k.suppiah at publicite.co.uk / k.alexander at publicite.co.uk ; Allium Capital Limited, Rob Forbes - Generator PR, Tel: +44(0)1256-460008, Email: rforbes at generatorpr.com .