White-label provider HANetf wades into model portfolio space
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White-label exchange traded fund provider HANetf has launched a range of model portfolios allocating to both in-house and third-party products.
Launched in collaboration with London-based financial technology firm Algo-Chain, the six portfolios are targeted at financial advisers, wealth managers, private banks, execution-only brokers, robo-advisers and any other money managers who want to offer ETF portfolios to their end clients.
“Model portfolios have become a significant part of the US ETF market ecosystem and HANetf believes the same will happen in Europe,” the group said.
HANetf’s balanced, growth, and adventurous model portfolios use ETFs to provide exposure to equities, fixed income, commodities and alternative assets.
Each portfolio has a different asset allocation, giving it a different risk level, target volatility and target maximum drawdown.
The ESG growth portfolio is also a multi-asset portfolio, but investing in impact investing and environmental, social and governance-themed ETFs.
Third-party ETFs are used where appropriate for the first four portfolios, according to HANetf, which added that while most ETF providers that offer model portfolios tend to only use in-house products, a more open selection model was optimal.
The Future Trends Themed Equity and Digital Assets and Crypto ETP portfolios, meanwhile, allocate exclusively to HANetf funds.
The former seeks to invest in ETFs that have exposure to the latest megatrends and themes, with holdings including the Electric Vehicle Charging Infrastructure Ucits ETF and Sprott Global Uranium Miners Ucits ETF.
The digital assets and crypto model portfolio invests in exchange traded products that give exposure to some of the largest cryptocurrencies and an ETF with a pure-play exposure to the blockchain and digital assets sector.
“In the US, we have seen a huge growth in ETF model portfolios and Europe is lagging. Offering free licences to financial advisers and asset managers who want to use these models is extremely powerful in further democratising using ETFs,” said Hector McNeil, co-chief executive officer and co-founder of HANetf.
*Ignites Europe is a news service published by FT Specialist for professionals working in the asset management industry. Trials and subscriptions are available at igniteseurope.com.