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The Friends First Indexed Fund range can be used in conjunction with our actively managed funds to help create a diverse, cost effective overall portfolio. Friends First has a range of 12 Indexed Funds giving access to most of the major investment markets.
Friends First Indexed Fund Range
|Indexed World Equity
Indexed 50/50 Equity
Indexed Global (Ex Euro) Equity
Indexed US Equity
Indexed Eurozone Equity
Indexed UK Equity
Indexed Emerging Markets
|Fixed Interest Funds||Indexed Eurozone Government Bond
Indexed Eurozone Long Bond
Indexed Eurozone Corporate Bond
Indexed funds are passively managed funds. They aim to replicate, rather than beat, the performance of a specified published index. They provide an efficient way to gain access to various markets usually without incurring the same costs, or performance risks, associated with active fund managers.
Indexed funds hold either all the securities in their specific index or a representative sample. This means that by investing in a single indexed fund your client may gain exposure to hundreds of securities.
Investing in an indexed fund is a form of passive investing. The primary advantage to such a strategy is that lower management charges are usually offered on indexed funds when compared to charges on actively managed funds.
As an indexed fund exactly replicates a specified index it is easier to understand the strategy and objectives of the fund.
The passive versus active management doesn’t have to be an either/or choice for investors. Combining the two can further diversify a portfolio and actually help manage overall risk and fund management costs.
An investor who is sensitive to the overall cost of their portfolio may benefit from mixing indexed funds with actively managed funds, such as Absolute Return funds. Indexed funds have lower associated costs and can be used to reduce the overall fee costs of a portfolio.
Build a brand new portfolio of Friends First funds matching your client’s appetite for risk with our Portfolio Builder. With your client you can select investments from a list of recommended funds including our indexed fund range. By including indexed funds within a diverse portfolio this may bring the overall fund charge down.
The funds referred to on this page may be linked to an insurance-based investment product and the Key Information Document (KID) for this product is available at www.friendsfirst.ie/kids. The Risk Ratings of the funds referred to in this document differ from the corresponding Summary Risk Indicators shown in the KID. An explanation of the differences between the Risk Rating and the Summary Risk Indicator is available at the location above.
Warning: If you invest in this product, you may lose some or all of the money you invest.
Warning: Past performance is not a reliable guide to future performance.
Warning: The value of your investment can go down as well as up.
Warning: Funds may be affected by changes in currency exchange rates.
This article is for Financial Broker use only.