Supporting IFA's

Our service is designed for the exclusive use of clients of professional financial advisers.

Our Discretionary Portfolio service is available on an many leading wrap platforms. We deliver on cost, transparency, performance, portability, attribution and accessibility.

Our DFM service is designed for use exclusively through Financial Advisers via their chosen platform.

Crossing Point is a dedicated DFM only service and does not and will not offer any financial advice.

Our range of 5 risk adjusted portfolios allows the financial adviser to accurately identify the most suitable portfolio solution.

Crossing Point portfolios feature implicit dynamic volatility management, with capital preservation at the very heart of its strategy across all the portfolios.

With these features, the portfolios have a very flexible application profile, including use a part of a deaccumulation strategy in pension drawdown scenarios.

We offer genuine, active management, emotional and behavioural biases are in check, applying a strict, clear, objective rule based only strategy.

At Crossing Point we strive to deliver what our IFA clients really value, service, cost and performance.

In times of market stress, you know that we will be implementing an active response. At Crossing Point apathy is not a tactic.

Decumulation

Annuity yields, we are all agreed are so poor that, where appropriate the retirement market is embracing investment portfolios as its only realistic option. However, this approach carries a higher degree of risk as a trade off for the prospect of greater return.

The predicament faced by such investors is downside risk and the impact on future income.Crossing Point allows investors to minimise maximum downside when faced with a market downturn whilst maintaining the real benefits of capital growth and income.

Sequencing Risk

A very real danger to investors , particularly those drawing income from a pension based portfolio is the potentially damaging phenomena of sequence risk. This can have a devastating effect in the value of an investment portfolio and consequently on long term returns.

This critical issue can be clearly illustrated by the chart and figure below.

How our clients use us!

Let us assume that a retired person has a pension investment portfolio of £100,000 and withdraws £7000 per annum.

The impact of sequence risk at different times
Years Late loss scenario Early loss scenario
0 100000 100000
1 98000 68000
2 97000 62400
3 95000 58400
4 92500 54400
5 90000 50200
6 87500 45700
7 84500 41100
8 81500 36000
9 78000 30800
10 59500 26800

We also assume that the portfolio returns an average 5% per annum. However, a significant market event causes the portfolio to fall by -25% one year. Which we would naturally refer to as a stockmarket crash.

In the late event scenario ( blue line) the investment is still worth £51,000 after 10 years. However, in the early loss event scenario (the red line) the portfolio’s value has been decimated to a value of around £18,000.

This rather graphic example effectively demonstrates the impact of the sequence of returns. Obviously, an early market ‘hit’ would result in extremely damaging consequences for longer term returns and capital preservation.

Crossing Pont’s core investment process is designed to mitigate this kind of scenario, proving itself to be highly useful, proven and appropriate to pension decumulation strategies.

Our Multi-Index Portfolios

We offer a comprehensive range of risk controlled multi-index investment strategies.

About Us

Crossing Point is a discretionary investment manager bringing together the best of academic analysis and investment expertise to create enhanced investment returns at lower risk.

Our Contacts

Tara House, Uplands,
Swansea, SA2 0PA

01792 278 115

2019 © Crossing Point Investment Management. Registered in England and Wales. Reg. No. 08776208.
Authorised and regulated by the Financial Conduct Authority (FCA No 813549).