GoldCore Portfolios Key Features
Key Features
Prospective investors should consider the following factors in determining whether an investment in GoldCore’s Bespoke Investment Portfolios is a suitable investment, and in particular prospective investors should note that the value of their investment may fall as well as rise.
Aims
GoldCore Ltd Bespoke Investment Portfolio service aims to provide investors with the following:
• To enable you to spread your investment among different types of investment funds from different investment managers in a portfolio in line with your objectives and attitude to risk
• To offer the potential for capital growth, income or both
• For the details of the specific aims of each fund, please refer to the product particulars of the fund
These services are advisory in nature and therefore we will seek your authority before acting on your behalf. You may accept or reject completely, or in any part, any recommendation from us and you have the sole authority with regard to the implementation, acceptance or rejection of any advice from us.
Our Commitment
GoldCore will be responsible for the design, execution and administration of your investment portfolio for those assets held with our Custodians and based on our understanding of your needs, objectives and attitude to risk as communicated to us by you. On an ongoing basis, GoldCore will provide valuations and rebalancing recommendations to bring your portfolio back to the target weights (See rebalancing below).
Your commitment
To pay a lump sum investment into the GoldCore Ltd Bespoke Investment Portfolio Service.
You should regard your investment as a medium to long term commitment (5 years+)
You may make further lump sum payments whenever you like, subject to a minimum of €10,000.
Risk factors
• What you get back depends on future investment performance and is not guaranteed. Investment returns may be lower than illustrated.
• Information about past performance should not be taken as a guide to future performance.
• Charges also affect what you will get back and the amount you get back may be less than your original investment.
• The value of your investment and any income from it may go down as well as up, whether you are invested in equities, property, bonds or commodities.
• Some funds may include overseas investments where the value may be affected by movements in currency exchange rates.
• The fund managers may increase the charges on the funds in the future.
• Inflation may reduce the buying power of your investment and income.
• If you invest in a property fund or other fund with limited liquidity, such as a fund of Hedge Funds, you should be aware that these investments may not be readily realisable and it may be difficult for investors to sell or realise the investment and/or obtain reliable information about its value or the extent of the risks to which it is exposed.
• Tax law and Revenue practice may change in the future.
• Some investments in certain markets may be subject to increased risk and volatility.
Questions and answers
Where is my investment held?
Your investment is made into UCITS regulated Investment Funds with major US Fund Managers such as BlackRock, Vanguard or Dimensional Fund Advisers who between them manage around 5 Trillion US Dollars. These investment funds are registered with an Independent custodian either with our Stockbroker (FXCM Securities in London) or with Royal Bank of Canada (CI) Ltd or with Zurich Assurance Ltd for the Professional Pension Plan. You will be advised which custodian will apply in your case. GoldCore Ltd does not hold client money .
Can I switch Investments?
Switches between investment portfolios are possible at any time and would be subject to dealing costs of selling and repurchasing new investments and an administration charge by GoldCore Ltd. Investors should note that some investments within the portfolio may be subject to limited liquidity and/or costs associated with early encashment. Tax is also due on encashment (see taxes below).
What is the GoldCore Ltd Bespoke Investment Portfolio Service?
GoldCore Ltd Bespoke Investment Portfolio Service is not an investment fund or product. It is a service in which we research and recommend portfolios of collective investments such as:
• Unit trusts
• Open-Ended Investment Companies (OEICs)
• Investment trusts
• Exchange Traded Funds
• Alternative investments such as precious metals*
We aim to simplify this huge market and select the most appropriate investment strategy for our clients.
We work with our clients using a Consultative Wealth Management Process to select the most appropriate investment strategy to meet their financial objectives.
* Please note that the provision of this product type does not require licensing, authorisation or registration with the Central Bank of Ireland and, as a result, it is not covered by the Central Bank’s requirements designed to protect consumers or by a statutory compensation scheme.
The GoldCore consultative wealth management process
This service includes:
• Discovery meeting to determine your current financial situation, where you want to go and the obstacles you face in achieving what is important to you.
• Investment plan meeting using the information gathered at your first meeting we present a complete diagnostic of your current financial situation and a plan for achieving your investment-related goals. We also provide you with an investment policy statement. The statement will provide Goldcore guidance to manage your investments with a long-term objective and focus. It also provides you with a written document which serves to aid with maintaining an investment discipline which is based on meeting your long-term goals rather than focusing on overconfidence or panic due to short-term price fluctuations.
• Mutual commitment to determine if we can truly add value and we mutually decide to work together.
• Initial follow-up we help you to organize your new account paperwork and answer any questions that may have arisen.
• Regular progress meetings we report to you on the progress you’re making toward achieving your goals and check in with you on any important changes in your life that might call for an adjustment to your investment plan. In addition, at the first regular progress meeting, we will present to you a wealth management plan—a comprehensive blueprint for addressing your advanced planning needs that has been developed in coordination with our network of experts. Advanced planning goes beyond investments to look at all the other aspects that are important to your financial life. We break it down into four parts: wealth enhancement, wealth transfer, wealth protection and charitable giving. At subsequent progress meetings, we decide how to proceed on specific elements of the wealth management plan. In this way, over time, every aspect of your complete financial picture is effectively managed.
The investment service is advisory not discretionary therefore clients are consulted and kept informed of all issues concerning their investment portfolio. No investment decisions are made without prior consultation. This way our clients receive firm guidance while remaining part of the process.
How does GoldCore select and monitor funds?
GoldCore’s Investment Committee is the investment fiduciary responsible for the prudent management of the GoldCore Investment Portfolios. The Committee will comply with all applicable fiduciary, prudence, and due diligence requirements experienced investment professionals would utilize; and with all applicable laws, rules, and regulations from various local and international political entities that may impact the Portfolios. The Committee shall have the exclusive authority to establish, execute and interpret an investment policy statement for the Portfolios. The Committee shall be solely responsible for the selection and retention of professional advisors to the Portfolios, which may include, but not be limited to, investment managers, investment consultants, custodians, lawyers, accountants, and clerical staff.
Definition of a Fiduciary
A fiduciary is defined as a person who has the legal and/or implied moral responsibility to manage the assets of another person. A fiduciary must act solely in the best interests of that person. The Committee is subject to certain duties and responsibilities, including, but not limited to:
1. Know the standards, laws, and trust provisions that impact the investment process of the Portfolios
2. Prudently diversify the Portfolios to a specific risk/return profile
3. Prepare, execute, and maintain an investment policy statement
4. Have investment decisions made by prudent experts
5. Control and account for all investment-related expenses
6. Monitor the activities of all investment-related service vendors
7. Avoid conflicts of interest and prohibited transactions
The Key Committee members are as follows:
Marc Westlake, CFP, TEP, Grad Dip, Dip PFS Head of Wealth Management
Marc has worked as an Independent Financial Planning Consultant since 1994 a specialist in Portfolio Management, Pensions and Tax and Estate Planning, he moved to Ireland from the UK and joined GoldCore in January 2008. Marc has a Bachelors Degree in Economics, Politics and American Studies from Leeds and Pennsylvania State Universities. He is a member of the Chartered Insurance Institute (www.cii.co.uk) and Personal Finance Society in the UK having been awarded the Diploma in Financial Planning. In Ireland, Marc is a member of the Life Insurance Association (www.lia.ie) holding the QFA diploma. Marc is also a registered Trust and Estate Planner and member of the prestigious Society of Trust and Estate Practitioners in Ireland (www.step.ie) and works closely with Estate Planning Lawyers in Ireland to assist clients in managing their wealth transfer to the next generation.
In 2011, Marc was awarded the post-graduate Diploma in Financial Planning from the Institute of Bankers/UCD and subsequently awarded the internationally recognised distinction of CERTIFIED FINANCIAL PLANNER (www.fpsb.ie)
Dr Constantin Gurdgiev Academic Consultant
Dr Constantin Gurdgiev is the Editor of Business & Finance, Ireland’s largest business publication, a Lecturer in Economics at University College Dublin and a Research Associate at the Institute for International Integration Studies, Trinity College, Dublin. He is also a Founder and Academic Director of the Open Republic Institute—www.openrepublic.org—Ireland’s only independent economic and social policy think-tank, for whom he edits the quarterly Open Republic magazine and co-edits the weekly Policy Watch newsletter.
He is a Member of the Academy of Political Science, the American Economic Association and the American Finance Association. Dr. Gurdgiev holds a PhD in Macroeconomics and Finance from Trinity College, Dublin, an MA in Economics from Johns Hopkins University and an MA in Pure Mathematics from the University of California, Los Angeles. Prior to joining University College Dublin, Dr. Gurdgiev taught economics and mathematics at Trinity College, Dublin and Johns Hopkins University.
Our investment committee aims to provide a best-of-breed approach, which identifies the most suitable funds in each asset class and which are appropriate for a given Investment portfolio.
We look beyond the current performance figures of the fund to determine the risk factors what drive investment returns, thus gauging future potential.
Our due diligence of a potential fund includes:
• Discrete performance of a fund
• Fund manager support & resources
• Investment philosophy and management techniques of the fund manager
• Risk control
• Cost
We monitor the funds on an on-going basis and once a fund is on our buy list it is not guaranteed to stay there. It is important to us to ensure that the funds continue to be appropriate for our investors
Are my investments accessible?
Although the Bespoke Investment Service is designed to be a longer-term investment, your investment is accessible and you can make partial encashment from your portfolio whenever you want, although you may incur a dealing charge on encashment and early encashment could result in a loss on the initial investment.
Any encashment should be made in consultation with GoldCore Ltd to establish the most suitable funds to sell from within the portfolio giving due consideration to the asset allocation of the portfolio, the costs associated with disposal of a fund and any liability to taxation. Failure to do so could leave the remaining portfolio unbalanced and consequently subject to higher volatility and risk than the original portfolio
Can I invest more money into my portfolio at a later date?
You can increase the amount invested by making additional investments of not less than €10,000.
GoldCore Ltd reserves the right to increase these minimum levels.
How are my payments invested?
When you invest in a portfolio, we will buy units or shares in the funds making up the appropriate portfolio based on the amount you invest less any initial charges. The fund schedule gives details of the pricing structure.
How long should I leave my Capital to grow?
GoldCore Ltd recommends that you leave your investment to achieve its maximum possible growth by keeping the money invested over the medium to long term (5-10 years).
How do I keep track of my Investment?
You will receive correspondence from the custodian following the implementation of your account confirming the purchase of each fund within the portfolio. Some of these funds will be held in a safe custody account. You will be able to access your account with the custodian to obtain up to date valuations of the investments within your account. This facility is intended primarily for valuation purposes only and not for dealing on your own account.
Independent Custodians
We do not hold your funds in our own name. We have appointed highly regulated and respected custodians to provide safe custody and administration services. The custodian holds clients’ securities separately and distinctly from its own assets.
As segregated assets they are fully protected in the extremely unlikely event of default or bankruptcy of either the custodian or its sub custodians. In most markets, the custodian operates through omnibus accounts where client securities are held on behalf of clients in the name of the custodian or its nominee company.
This structure provides asset protection for underlying clients as the market recognises the custodian or its nominee as merely the account holder who holds assets on behalf of underlying beneficial owners. This beneficial ownership is reflected in the custodian's book of record.
FXCM Securities is regulated by the Financial Services Authority in the UK.
FXCM charge 0.05%pa for custody and a charge of typically €30 per transaction.
Royal Bank of Canada (RBC) is regulated by the Guernsey Financial Services Commission to carry on deposit taking and investment business and to act as a custodian/trustee of collective investment schemes in Guernsey and is regulated by the Jersey Financial Services Commission in the conduct of deposit taking, funds services and investment business in Jersey.
RBC charge 0.1%pa of the value of your account for providing custody services subject to a minimum annual fee of $1000pa. Transactions cost $75 per trade and a brokerage charge of typically 0.3% applies to exchange traded investments.
The GoldCore Fiduciary Pension is provided by Zurich Life Assurance plc with custody and administration services provided by Bloxham Stockbrokers. The annual management fee for the pension is 1.5%pa. Bloxham charge €50 per transaction and GoldCore charge €25 administration fee per transaction.
GoldCore Fees
Implementation fees and annual fees depend on the total amount invested (Percentage applies to the whole amount invested). The Implementation fee may be up to 2.5% and the Annual Fee may be up to 0.85%. Fees will be communicated to you prior to commencement. Please refer to your fee agreement.
Institutional Investment funds
GoldCore have access to unique investment funds from major US Fund Managers.
In some instances (e.g. Dimensional Funds) these institutional class investment funds are not offered
directly to the public.
“Dimensional” refers to anyone or more of the companies in the Dimensional worldwide group of
companies, namely Dimensional Fund Advisors, Dimensional Fund Advisors Canada ULC, DFA Australia
Limited, and Dimensional Fund Advisors Ltd, a company authorised and regulated in the United
Kingdom by the Financial Services Authority (FRN: 150100) and any other company which from time to
time is a subsidiary or holding company or subsidiary or a holding company of any of the above listed
companies;
Dimensional designs dynamic strategies that offer focused exposure to the risk dimensions of the market in fully diversified portfolios. Unlike index funds that follow commercial benchmarks, Dimensional defines asset classes based on a security's market capitalisation and book-to-market (BtM) ratio and actively applies unique eligibility rules.
Engineering portfolios around broadly defined risk factors regularly generates opportunities for Dimensional traders to add value. Rather than replicate an index in mechanical fashion, they permit deviations from market cap weightings and allow for the integration of stocks among asset classes. This flexibility also allows Dimensional to reduce transaction costs caused by counterproductive trading. For asset classes defined by size, a slightly higher hold or "buffer" range allows Dimensional to hold securities that commercial indexes are forced to sell, which reduces turnover and can increase returns.
Blackrock
BlackRock is one of the world’s preeminent asset management firms and a premier provider of global investment management, risk management and advisory services to institutional, intermediary and individual investors around the world. As of September 30, 2009, BlackRock’s assets under management total US$3.2 trillion* across equity, fixed income, cash management, alternative investment and real estate strategies.
Clients can access Blackrock investment solutions through a variety of product structures, including individual and institutional separate accounts, mutual funds and other pooled investment vehicles, and iShares® ETFs.
iShares is the dominant force in global exchange-traded funds (ETFs), with over $593bn* invested in 476 funds. Over 43% of the world's total ETF assets under management are invested in iShares funds.
Vanguard
Vanguard is one of the world's oldest, having launched its first fund in 1929, and largest investment management companies currently managing around $US 1.6 Trillion.
Most investment firms are either publicly traded or privately owned. Vanguard is different in that they are client-owned.
Helping investors achieve their goals is literally their sole reason for existence. With no other parties to answer to and therefore no conflicting loyalties, Vanguard has a reputation for keeping investing costs as low as possible.
Vanguard launched one of the first indexed mutual funds tracking the S&P 500 in 1976.
Underlying investment funds audited Total Expense Ratios
All investment funds have expenses that include management fees, administrative charges and custody fees. In many countries in the world these are disclosed to prospective investors as a Total Expense Ratio (TER). According to the Investment Company Institute in the USA the average annual expense ratio for all stock funds is 1.54 percent.
However, in Ireland investment managers are not obliged to reveal their TERs, and many investors mistakenly believe that the annual management charge quoted by the fund manager is the total cost they will pay for investing in a fund.
Figures from investment consulting firm Morningstar show the average TER for a German equity fund with less than $75m (€57m) stands at 1.73 per cent. This figure drops to 1.37 per cent for a similar fund with more than $1bn in assets under management. In the UK, the drop is less severe. A UK equity fund with less than $75m has a TER of 1.77 per cent, according to Morningstar, while this figure stands at 1.67 per cent for funds with more than $1bn of assets .
Asset class Annual Total Expense Ratio
Inflation-Linked Bonds 0.25%
Ultra Short Fixed income Fund - Dist 0.23%
Global Short Fixed Income Fund 0.43%
Global Targeted Value Equities 0.73%
Global Core Equity 0.54%
Emerging Markets Value Equities 0.71%
Emerging Markets Targeted Value Equities 1.01%
European Core Equity 0.21%
Europe Value Equities 0.63%
European Smaller Companies 0.77%
Global Real Estate Investment Trusts 0.59%
Gold Bullion 0.29%
See product fact sheets and fund prospectus for more details of the fees applicable to a specific fund.
Example Asset Allocation:
Typical Fund Descriptions – other funds may be used subject to client requirements
DFA Global Short Fixed Income Fund The investment policy of the Global Short Bond Fund is to purchase high-quality, fixed- or floating-rate, investment-grade, short-term bonds issued by governmental, quasi-governmental, and corporate issuers in developed countries that mature in five years or less. Currently, the Fund may invest in Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Ireland, Japan, the Netherlands, New Zealand, Norway, Spain, Sweden, Switzerland, the United Kingdom, and the United States. The Fund intends to hedge substantially all foreign currency exposure into the currency of the Fund.
DFA Global Core Equity Fund The investment policy of the Global Core Equity Fund is to purchase securities of certain companies traded in global developed countries deemed eligible. The Fund will generally be over-weighted in small companies and in shares deemed to be eligible value stocks, and underweighted in large growth companies. Companies are considered small primarily based on a company's market capitalisation. Securities are considered value stocks primarily because a company's shares have a high book value in relation to their market value. In assessing value, additional factors may be considered such as price-to-cash-flow or price-to-earnings ratios, as well as economic conditions and developments in the issuer's industry. The criteria that is used for assessing value is subject to change from time to time. Generally, the Fund intends to purchase a broad and diverse group of readily marketable shares of companies traded on principal exchanges in Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Greece, Hong Kong, Ireland, Italy, Japan, the Netherlands, New Zealand, Norway, Portugal, Singapore, South Korea, Spain, Sweden, Switzerland, Taiwan, the United Kingdom, and the United States.
DFA Global Targeted Value The investment policy of the Global Targeted Value Fund is to purchase securities of certain companies traded in global developed countries deemed both eligible smaller companies and eligible value stocks. Companies are considered smaller primarily based on a company's market capitalisation. Securities are considered value stocks primarily because a company's shares have a high book value in relation to their market value. In assessing value, additional factors may be considered such as price-to-cash-flow or price-to-earnings ratios, as well as economic conditions and developments in the issuer's industry. The criteria that is used for assessing value is subject to change from time to time. Generally, the Fund intends to purchase a broad and diverse group of readily marketable shares of companies traded on principal exchanges of Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Greece, Hong Kong, Ireland, Italy, Japan, the Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, the United Kingdom, and the United States.
DFA Emerging Markets Value The investment policy of the Emerging Markets Value Fund is to purchase securities of publicly traded companies listed in emerging markets deemed eligible value stocks. Currently, the Fund intends to purchase a broad and diverse group of stocks traded on the principal exchanges of Brazil, Chile, China, the Czech Republic, Hungary, India, Indonesia, Israel, Malaysia, Mexico, the Philippines, Poland, Russia, South Africa, South Korea, Taiwan, Thailand, and Turkey. The Fund reserves the right to amend the list of countries at any time. Securities are considered value stocks primarily because a company's shares have a high book value in relation to market capitalisation. In assessing value, additional factors may be considered such as price-to-cash-flow or price-to-earnings ratios as well as economic conditions and developments in the issuer's industry. The criteria that is used for assessing value is subject to change from time to time.
DFA € Inflation Linked Bonds The investment objective of the Euro Inflation Linked Intermediate Duration Fixed Income Fund is to seek to provide inflation protected intermediate-term fixed income return. The investment policy of this Fund is to invest in fixed income securities and derivative instruments structured with the aim to provide protection against inflation in the Eurozone. The Fund may invest in investment grade, fixed-or floating rate, inflation-linked securities issued by governmental, quasi-governmental and corporate issuers. Eligible fixed income securities may include, but are not limited to, government, agency, supranational and corporate bonds, freely transferable promissory notes, commercial paper and bank debt obligation such as uncollateralised time deposits and certificates of deposit. The Fund will generally invest in debt securities rated at least AA by S&P or Fitch or Aa2 by Moody's or in securities of issuers whose commercial paper is rated Prime1 by Moody's or A1 or better by S&P or F1 or better by Fitch. Generally, the portfolio will maintain an average duration of more than five years and less than ten years.
I
Shares Global Real Estate Global Real Estate exchange traded fund (ETF) that aims to track the performance of the FTSE EPRA/NAREIT Developed Dividend+ Index as closely as possible. The ETF invests in physical index securities. The FTSE EPRA/NAREIT Developed Dividend+ Index offers exposure to listed real estate companies and Real Estate Investment Trusts (REITS) from developed countries world wide excluding Greece, which have a one-year forecast dividend yield of 2% or greater. The index is free float market capitalisation weighted.
IShares European Equity European Equity is an exchange traded fund (ETF) that aims to track the performance of the STOXX® Europe 600 Index as closely as possible. The ETF invests in physical index securities. The STOXX® Europe 600 Index offers exposure to the 600 largest stocks from European developed countries, measured and weighted by free float market capitalisation.
DFA European Value The investment policy of the European Value Fund is to purchase securities of certain European-traded companies deemed eligible value stocks. Securities are considered value stocks primarily because a company's shares have a high book value in relation to their market value. In assessing value, additional factors may be considered such as price-to-cash-flow or price-to-earnings ratios, as well as economic conditions and developments in the issuer's industry. The criteria that is used for assessing value is subject to change from time to time. Currently, the Fund intends to purchase a broad and diverse group of stocks traded on the principal exchanges of Austria, Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Italy, the Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, and the United Kingdom.
DFA Euro Ultra Short Fixed income
The investment objective of the Euro Ultra Short Fixed Income Fund is to seek to maximise current income while preserving capital. The investment policy of the Fund is to purchase high quality, fixed or floating rate investment grade short term instruments including bonds and other instruments such as commercial paper, bank obligations, and corporate debt obligations issued by governmental, quasi-governmental and corporate issuers predominantly in developed countries. In addition, up to 10% of the Fund's net assets may be in collective investment schemes. The instruments purchased by the Fund will be denominated in Euros and mature in two years or less from the date of settlement. The Fund will generally maintain an average maturity of one year or less.
DFA Emerging Markets Targeted Value The investment policy of the Emerging Markets Targeted Value Fund is to purchase securities of publicly traded companies listed in emerging markets deemed both eligible smaller companies and eligible value stocks. Currently, the Fund intends to purchase a broad and diverse group of stocks traded on the principal exchanges of Brazil, Chile, China, Hungary, India, Indonesia, Israel, Malaysia, Mexico, the Philippines, Poland, South Africa, South Korea, Taiwan, Thailand, and Turkey. The Fund reserves the right to amend the list of countries at any time. Companies are considered smaller primarily based on a company's market capitalisation. Securities are considered value stocks primarily because a company's shares have a high book value in relation to their market value. In assessing value, additional factors may be considered such as price-to-cash-flow or price-to-earnings ratios, as well as economic conditions and developments in the issuer's industry. The criteria that is used for assessing value is subject to change from time to time.
Vanguard Emerging Markets Core Investment objective The fund seeks to track the performance of the MSCI Emerging Markets Index, a market-capitalisation-weighted index of companies in emerging markets in Europe, Asia, Africa, Latin America and Russia. Investment strategy The fund employs a “passive management” or — indexing — investment approach by investing all, or substantially all, of its assets in the common stocks included in the Index.
Vanguard Euro Investment Grade Bond Fund Investment objective The fund seeks to provide returns consistent with the performance of the Barclays Capital Global Aggregate Euro Non-Government Float Adjusted Bond Index, a market-weighted bond index of the euro investment-grade bond market with an intermediate-term weighted average maturity. Investment strategy. The fund employs a “passive management” — or indexing — strategy designed to track the performance of the Index. This market-weighted Index is designed to reflect the total universe of the euro denominated investment-grade fixed-income securities excluding Eurozone treasury and Eurozone government related-securities. All issues have a maturity of greater than one year.
Zurich Europe ex UK Property Fund (precision portfolios) The underlying fund is the iShares FTSE/EPRA European Property Index Fund is an exchange traded fund (ETF) that aims to track the performance of the FTSE EPRA/NAREIT Developed Europe ex UK Dividend+ Index as closely as possible. The ETF invests in physical index securities. The FTSE EPRA/NAREIT Developed Europe ex UK Dividend+ Index offers exposure to listed real estate companies and Real Estate Investment Trusts (REITS) from developed European countries excluding the UK, which have a one-year forecast dividend yield of 2% or greater. The index is free float market capitalisation weighted. iShares ETFs are funds managed by BlackRock.
Zurich Far East Property Fund (precision portfolios) The underlying investment is the iShares FTSE EPRA/NAREIT Asia Property Yield Fund is an exchange traded fund (ETF) that aims to track the performance of the FTSE EPRA/NAREIT Developed Asia Dividend+ Index as closely as possible. The ETF invests in physical index securities. The FTSE EPRA/NAREIT Developed Asia Dividend+ Index offers exposure to listed real estate companies and Real Estate Investment Trusts (REITS) from developed Asian countries, which have a one-year forecast dividend yield of 2% or greater. The index is free float market capitalisation weighted. iShares ETFs are funds managed by BlackRock.
Source ETC Physical Gold Bullion- The Source Physical Gold P-ETC aims to provide the performance of the London Gold Market PM Fixing Price in USD. Each Gold P-ETC is a certificate which is secured by gold bullion held in J.P. Morgan Chase Bank's London vaults. The issuer of the certificates, Source Physical Markets PLC(Source PMP), is an Irish-domiciled company administered by Deutsche Bank London. The gold bullion is held in allocated gold bars with the residual amount held in unallocated gold in a segregated account with J.P. Morgan Chase Bank acting as Custodian and Deutsche Bank as Trustee. The investment return is achieved by holding gold bullion which is valued daily at the London PM fixing price. Source P-ETCs are exchange traded certificates and not funds or exchange traded funds.
BlackRock Euro Corporate Bond (precision portfolios) iShares Barclays Capital Euro Corporate Bond is an exchange traded fund (ETF) that aims to track the performance of the Barclays Capital Euro Corporate Bond Index as closely as possible. The ETF invests in physical index securities. The Barclays Capital Euro Corporate Bond Index offers exposure to Euro denominated investment grade corporate bonds from industrial, utility and financial issuers publicly issued in the Eurobond and Euro zone domestic markets. Only bonds with a minimum remaining time to maturity of one year and a minimum amount outstanding of €300 million are included in the index. iShares ETFs are funds managed by BlackRock.
A fuller statement of Investment Policy is available in the relevant Fund Prospectus.
Payment of fees
Initial Financial Planning Fees will be due on presentation of the initial financial plan and invoiced accordingly.
Portfolio implementation fees will be due for settlement when the initial actions agreed have been completed. However, in the event of circumstances beyond our control resulting from third party delays, we will present an invoice on a pro-rata basis for work completed after 3 months and 6 months.
Annual fees will be charged six monthly with the first payment being due six months after the completion of the implementation phase.
A notional account that tracks receipts and fees due will be maintained. You will be provided with a statement of this account with the bi-annual review. If this account is in debit, we may forward an invoice for settlement of the outstanding balance. This invoice will be due for settlement immediately and you agree to pay interest on any sums not paid within thirty days of the invoice date; such interest to be at a rate equivalent to the ECB rate plus 3%.
If our outstanding fees are not paid within 3 months of the invoice being issued and if insufficient cash is held within your account to meet our fee we reserve the right and you expressly grant us the power to sell assets within your account to meet our outstanding fees. You agree to hold GoldCore harmless in respect of any losses costs, fees, expenses or taxes that you incur as a result of this action.
In the event of you defaulting on any payment of fees, we will, if necessary, exercise our legal rights to recover such monies due. Fees may be charged for advice given irrespective of whether a product is purchased by you.
Dimensional Fund Advisers
It is an express condition of Dimensional Fund Advisers (DFA) that all clients are advised by a registered adviser. Therefore, if you decide to terminate this agreement by giving notice in writing you also agree to provide GoldCore Ltd with details of an alternative DFA approved adviser who is to replace GoldCore Ltd within 21 days of the termination request.
Should no replacement adviser be forthcoming, you will not be able to purchase any further funds of Dimensional Fund Advisers funds although you will be able to retain the funds you hold at that time it will not be possible to make switches between funds. You agree to hold GoldCore harmless in respect of any costs, fees, expenses or taxes that you incur as a result of this
Tax
In order to offer the widest possible choice of low cost investment funds, GoldCore Ltd have researched the best investment funds available throughout the world.
As a result, many of the investments within the Investment Portfolios are in offshore funds. This will create a requirement for investors to complete an annual self-assessment tax return (except for Pension and ARF clients).
As an investor in the investment portfolios, you must self-assess yourself for Irish tax in respect of the initial investment, any increase in value of the investment on disposal and on the eighth anniversary of the investment. Failure to meet these reporting requirements may mean that a higher rate of taxation will apply to your investments.
Please retain all correspondence in respect of purchase and sale transactions.
Reporting initial investments
Details of the funds purchased including the name and address of the offshore fund, the date the interest in the fund was acquired, the amount of capital invested and the name and address of the intermediary should be included on Form 11 under Sections 318, (g), (h), (i) and (j).
• Name and address of the offshore fund
• Date of purchase
• Intermediary details: GoldCore Ltd, 14 Fitzwilliam Square, Dublin 2
Reporting of income payments
Form 11 under Sections 318 (a)
Income payments from distributing funds during a tax year must be reported and payment made to the Revenue before the 31st October the following tax year.
Again, the name and address of the offshore fund should be reported along with the date of purchase, the amount of the initial investment (including initial costs of purchase).
Intermediary details: GoldCore Ltd, 14 Fitzwilliam Square, Dublin 2
Reporting of gains
Form 11 under Sections 318 (e)
Disposals made during a tax year must be reported and payment made to the Revenue before the 31st October the following tax year.
Again, the name and address of the offshore fund should be reported along with the date of purchase, the amount of the initial investment (including initial costs of purchase).
Intermediary details: GoldCore Ltd, 14 Fitzwilliam Square, Dublin 2
Reporting on each Eighth anniversary
On the eighth anniversary of the purchase, you are deemed to dispose and then re-acquire your investment in the fund. Tax is payable on any deemed gain arising. This tax is available for credit against the tax liability when the investment in this fund is ultimately disposed of, if the investment has not increased in value, then no tax is taken. Each investor must make the necessary timely returns to the Revenue in order to avail of the necessary tax benefits outlined above.
Irish Domiciled Funds
Certain funds domiciled in Ireland would usually be taxed at source with the fund collecting and discharging your tax liability. However, where the units in the funds are held in a recognized clearing system, the details of the underlying investor are not available to the administrators for the purpose of making tax deductions at source. As a result, the investor must self-assess themselves for Irish tax in respect of any increase in the value of the investment on disposal or on each eighth anniversary of making the investment.
Important
The rates of tax described apply provided you have included the correct details on your tax return and you have made that tax return by 31st October following the year in which a gain was made. Please note that you cannot offset the gains made in one fund against the losses incurred in a different fund. Furthermore, if you have made a loss on the sale of a fund, there is no tax relief available for that loss.
The information provided is based on Irish Tax legislation at the time of writing (May, 2011).
The rates and bases of taxation may change in the future. We recommend that you obtain specific tax advice for your own personal situation from a suitably qualified Tax consultant.
Rebalancing means the regular review of the portfolio with a view to reallocation of the holdings to account for “Portfolio Drift”. This is where the various assets within the portfolio rise and fall at different rates. GoldCore Ltd will review your holdings on a regular basis (at least annually) and suggest amendments you should make to your underlying holdings to account for this portfolio drift. For example, the equity market may have increased significantly and consequently the proportion of your portfolio invested in equities will have increased. This will have increased the risk of the portfolio. We may recommend a disposal of some of equity investment for redistribution across the other asset classes.
Cancellation Rights
After your funds have been cleared in the bank, we will exercise your order as instructed on the application form. You have no right to cancel your order once the funds have cleared and we have placed the order.
Tax, Investment Advice and Performance
This document and any associated literature or documentation is based on our interpretation of Irish law & Revenue practice. Whilst these interpretations are believed to be correct, GoldCore Ltd can give no guarantee in this respect or that tax advantages or tax treatment will remain the same in the future.
Investor Protection - We are members of the Investor Compensation Scheme established under the Investor Compensation Act, 1998. This legislation provides for the establishment of a compensation scheme and to the payment, in certain circumstances, of compensation to clients of firms covered by the Act. However, you should be aware that a right to compensation will only arise where money or investment instruments held by this firm on your behalf cannot be returned either for the time being or in the foreseeable future and where the client falls within the definition of eligible investor as set out in the Act. In the event that a right to compensation is established, the amount payable is the lesser of 90% of your loss which is recognised as being eligible for compensation or €20,000. Your legal rights are not affected by this scheme. In addition to the above mentioned compensation we also hold Professional Indemnity Insurance.
The provision of precious metal product or service does not require licensing, authorisation, or registration with the Irish Central Bank and, as a result, it is not covered by the Irish Central Bank's requirements designed to protect consumers or by a statutory compensation scheme.
GoldCore Ltd is regulated by the Central Bank of Ireland.
The Company will follow policies, which are intended to ensure that safeguards are provided for the protection of the interest of the investors.
BESPOKE INVESTMENT PORTFOLIOS TERMS AND CONDITIONS
You agree to be bound by the GOLDCORE LTD TERMS AND CONDITIONS before using the Bespoke Investment Portfolio service from GoldCore Ltd.
For the avoidance of doubt:
The Bespoke Investment Portfolio Service from GoldCore Ltd is not a Collective Investment Fund or Fund of Funds. We do not hold client money or issue units in collective undertakings on our own account. All units in the underlying funds will be issued by the relevant custodian following transmission of orders by GoldCore Ltd and held with the custodian in an account in your name. We will transmit orders for the appropriate investment fund on your behalf using the appropriate application form or by using a limited power of attorney.
GoldCore Ltd will research and recommend a bespoke portfolio of investment funds which in combination will provide you with an appropriate risk-rated portfolio which we believe will have the best chances of meeting your unique goals and financial objectives.
TERMS AND CONDITIONS
Definitions
In the Terms and Conditions, the following terms shall have the meanings set out below:
“The Service” means the transmission by GoldCore Ltd of orders to our Market Counterparties to purchase the underlying investments which make up the investment portfolio selected by you;
“Market Counterparties” means Stockbrokers and Independent Custodians who execute orders on your behalf;
“Investment Portfolio” means the collection of risk-rated investment funds recommended by GoldCore Ltd for you following our research and due diligence process;
“Agreement” means your agreement with us, comprising these Terms and Conditions and any other document (including any Application Form or Terms of Engagement) entered into by you and/or us governing the relationship between us and you from time to time;
“Application Form” means any application form completed by you in respect of any product or service offered by us;
“Business Day” means a day, other than a Saturday, a Sunday or a bank holiday, on which banks are generally open for the transaction of business in the Republic of Ireland;
“Customer” means any person who has opened or holds an Account;
“Terms and Conditions” means this document
“Product Provider” means in respect of an Investment, the legal entity or the investment fund in which you are an investor;
“Investment” means investments of any kind;
“Order” means an Order given by you to us;
“GoldCore” means; GoldCore Limited trading as GoldCore which is regulated by the Central Bank of Ireland. GoldCore Ltd is registered in the Companies Registration Office under Company number 377252. Registered for VAT under number 6397252A;
“We”, “us”, “our” means GoldCore Ltd;
“You”, “Your” means you, the Customer;
“Stockbroker” means any Stockbroker selected by GoldCore Ltd for order execution in certain securities such as Exchange Traded Funds (ETFs);
“Order execution” means the transmission of orders by GoldCore Ltd to a Stockbroker or Custodian to purchase or sell securities on your behalf. GoldCore Ltd policy is to diversify investment risk through appropriate asset allocation we do not attempt to time the market;
“Market timing” means attempting to time the sale or purchase of a security in order to attempt to obtain the most favourable outcome from the transaction. Most empirical studies support the notion that consistently timing the market is impossible and that over time investors would be better advised to focus their attention on diversification of their investment portfolios through appropriate asset allocation rather than trying to time the market;
“Best Execution” means GoldCore Ltd will transmit client orders to the Stockbroker or Custodian to obtain the best possible execution costs (lowest commissions) from the widest range of investments, and not the best intraday price on the underlying security;
“Spread” means the difference between the bid and ask price of an investment.
“Account” means your account with an independent custodian or other such investment with any product provider
These Terms and Conditions are subject to all relevant consumer protection laws and regulations.
Amendment of Terms and Conditions
We may alter the Terms and Conditions at any time. If we do this, we will notify you in writing of the amendment(s). If you do not contact us within 30 days of such a notification to tell us that you do not agree with the amendment, you will be deemed to have accepted the amendment(s).
Limited Power of Attorney
By completing the Limited Power of Attorney you understand and agree the following:
You grant Power of Attorney to GoldCore Ltd to perform all transactions and legal acts according to the custodian’s general Business Terms or any other business terms which are entered into with the custodian and which govern the client relationship as if they were performed by you.
The custodian may accept from the us, without any inquiry or investigation, any order for the purchase and sale of securities, derivatives, foreign exchange and any other property in the your account(s) on margin or otherwise;
We will transmit only the orders that have been expressly agreed with you. GoldCore Ltd does not currently offer a Discretionary management service.
The custodian shall have no responsibility or liability to you in following our instructions;
The custodian is under no duty to supervise or otherwise know or review the trading practices or advice or any other acts of GoldCore Ltd;
The custodian is allowed to reveal all information about the account to GoldCore Ltd and thus, for instance, send copy of any and all transaction notes, account statements etc. to GoldCore Ltd.
The custodian may establish internet trading facilities according to GoldCore instructions and thus enable us to execute trades on your behalf on any of the custodian’s internet trading systems.
The Power of Attorney shall remain in effect until terminated in writing by you and correspondingly confirmed in writing by the custodian.
Execution Orders
If you give us an instruction to proceed with a sale or purchase of an investment, in accordance with our terms, conditions, rules and instructions, you are unconditionally bound by such an Order.
We will not accept orders by telephone or e mail. If you provide an Order which is not in accordance with our Terms and Conditions and our rules and/or instructions, we may refuse to execute such an Order.
If you provide an Order which is in any way unclear or incomplete, we are not liable for any errors or delays in the execution of that Order.
We will determine the time by which an Order received by us must be executed. We define best execution to be within 2 working days of the receipt of an order. We reserve the right, at our absolute discretion, to change that time period. If we receive an Order form you, we shall use our reasonable endeavors’ to have that Order executed within a reasonable period.
Confirmation of the execution of your Order will be available in the form of a contract note issued to you by the product provider.
Limitations of Liability
GoldCore Ltd are not in any circumstances liable to you or any other person for any direct or indirect loss of any nature that arise out of any transactions carried out on your account by you.
GoldCore Ltd are not in any circumstances liable to you or any other person for any direct or indirect loss of any nature that arise out of any negligence or default on our part except where we are guilty of gross negligence or willful default that directly causes: the non-execution or non-timely execution of any Orders;
Force majeure
We are not liable for the consequences of any force majeure event, including but not limited to adverse orders and measures of any government or supranational
or international organization, international conflicts, violent or armed actions, strikes, boycotts, lockouts and other labour disturbances among our own personnel or otherwise, disturbances in any business whose services are utilized, malfunctions in systems or in other business of which we make use in the provisions of our services, malfunctions in the telecommunications networks, or any similar or analogous event.
We are not liable for the direct or indirect consequences of any illegal, fraudulent or unlawful use of your account by others acting or purporting to act on your behalf.
Change in legal status (death, divorce, residence, etc)
You/your personal representatives must inform us immediately in writing of any of the following:
(a) A change in your legal status, including but not limited to your ceasing to be a full-time resident of the Republic of Ireland;
(b) Your divorce or legal separation;
(c) Your bankruptcy; or
(d) Your death.
If we are not made aware of the occurrence of any of the above, we will have no liability in respect of any action taken by us between the date that any of the above occurs, and the date on which we are notified of same.
Termination of the relationship
We may terminate the Agreement at any time, in our absolute discretion, on giving you 6 months notice.
You may terminate the Agreement at any time on giving us 6 months notice.
We may terminate the Agreement immediately
For any of the following reasons:
(a) Your death;
(b) Your bankruptcy or other act of insolvency; or
Termination of the Agreement will lead to termination of all GoldCore Ltd services that you have availed of, and will be without prejudice to liabilities incurred prior to termination. All costs that we have to bear on a termination are for your account.
If the Agreement is terminated, you may exit the relationship immediately, but you will be contractually liable for 6 months management fees in respect of all investments arranged by GoldCore Ltd.
Following termination, we will place your credit balances (after deduction of our costs) at your disposal in the manner deemed most suitable by us and settle all outstanding transactions as quickly as is reasonably possible, having regard to all relevant circumstances.
Data Protection
Any personal data (as defined under the Data Protection Acts, 1988 – 2003) and information provided to Goldcore Ltd will be collected and held on computer, and/or in printed form or otherwise, retained and processed (as defined under the Data Protection Acts, 1988-2003) by Goldcore Ltd for the purposes of providing financial advice to you.
Goldcore Ltd will keep your personal data confidential, but may disclose it to third parties where necessary for the purposes of providing the above service to you, including, inter alia, associated companies, financial institutions, your other advisers and other parties with whom GoldCore Ltd has contractual arrangements to provide financial products and ancillary and support services, and to regulatory and other governmental bodies where required by or under any enactment or rule of law or court order, including, inter alia, the Revenue Commissioners, the Financial Regulator and the Pensions Board.
You acknowledge that the personal data may contain Sensitive Personal Data (as defined under the Data Protection Acts, 1988 – 2003) and, therefore, unless you explicitly consent to the use of personal data in accordance with this clause, we will not be in a position to provide the above service to you.
You have the right to request a copy of the personal data which we hold about you and the right to rectify that personal data by writing to the Data Protection Officer.
Communications and Notices
All notices and communications are regarded as validly given by us to you if we send them to the last address notified by you or we advertise them in a national newspaper. If you change your address, you must notify us in writing.
You agree that we may provide you with notices and communications via the last e-mail address notified by you to us.
All documentation, information and communications between us and you will be in English.
Recording
We may record telephone conversations with you. If we telephone you, you acknowledge that we may record that call.
If there is a dispute in relation to dealings with you that may have been recorded, you agree to accept our records as conclusive evidence of the instructions recorded therein, and the conversations recorded therein. Any such telephone recordings will remain our property.
Fees
All fees and charges applicable to our products and services are listed in the Key features.
Subject to all applicable laws and regulations, we may charge you any such charges, fees or interest as are determined by us in connection with our services, in the manner and on the dates indicated by us. We reserve the right to change such charges, fees and/or interest at any time and shall update
The Key Features accordingly.
All fees and charges will be debited to an Account held in your name. Where charges are to be deducted from an Account and such charges total an amount of above €12.70, we will notify you of this at least 10 Business Days in advance.
Information from you
You hereby represent and warrant to us that you are at least 18 years of age and are a permanent resident of the Republic of Ireland. We are entitled to rely on all information provided by you, and ask for any additional information from you. If you fail to provide any such information we may elect in our absolute discretion not to provide our services to you.
Involvement of third parties
When we execute Orders that you give us, and when we carry out your instructions, you acknowledge and agree that we are authorized to use services provided by third parties and that we may place your money, and/or Investments into the safe-keeping of third parties.
We will take the necessary care in selecting such third parties and, provided that we have taken necessary care, we shall not be liable for any negligence, misconduct or default by any such third party.
In certain circumstances, the aforementioned third parties may be situated outside Ireland with the result that a different legal treatment is applied to your money, and/or investments than if the third party was situated in Ireland and you may be unable to recover some or all of your money, and/or investments due to the default, liquidation, bankruptcy or insolvency of the third party.
Ongoing Review
The appointment of the Product Providers, custodians and fund managers will be monitored and reviewed on a regular basis. This review will focus on the quality of the results delivered against the results that were possible and what was delivered, amongst other things.
Correction of errors
We can correct any errors that we may make without first receiving instructions from you to do so.
Invalidity
If any provision of the Agreement with us is held to be unenforceable, it will not affect the validity or enforceability of the remaining provisions of the Agreement with us.
No waiver
Any failure or delay on our part or on your part in enforcing any term of the Agreement shall not constitute a waiver of such term.
No exclusion
Nothing in the Agreement seeks to exclude or restrict any legal liability or duty of care that we may have to you under Irish consumer protection legislation, or under the Consumer Protection Code.
Governing Law and Jurisdiction
These Terms & Conditions are governed by, and construed in accordance with, the laws of the Republic of Ireland. The courts of the Republic of Ireland shall have exclusive jurisdiction to resolve any disputes which arise in relation to these Terms & Conditions.
Conflicts of Interest
A copy of our conflicts of interest policy is available as part of the “Terms of Business”.
Complaints Procedure
If you have a complaint, you can e-mail wealth@goldcore.com, call us on 01 632 5010 or write to The Complaints Manager, GoldCore Ltd, 14 Fitzwilliam Square, Dublin 2
If you telephone us with your complaint, we will treat your complaint as if it was sent to us in writing. We will do our best to resolve your complaint within five working days. If we cannot do this to your satisfaction, we will do the following:
Acknowledge your complaint within five working days, and let you know who is looking after your complaint, their contact details and how soon we hope to have your complaint resolved;
Investigate your complaint in full and seek to resolve it promptly and fairly within 2 weeks where possible. Some complaints can be resolved much sooner; others may take more time to fully investigate. If we cannot resolve your complaint within 40 working days, we will advise you of when we expect to resolve it. If you are not satisfied with this, you are entitled to refer the matter to the Financial Services Ombudsman, 3rd Floor, Lincoln House, Lincoln Place, Dublin 2
(www.financialombudsman.ie);
We will keep you informed in writing during the process on a weekly basis;
Issue you a formal response outlining the findings of our investigation and the appropriate action we can take to address your complaint within 5 working days of completing our investigation of your complaint;
If you are not satisfied with our handling of the complaint or with the outcome of our investigation, we would hope that you would let us know immediately. We will always do our very best to satisfy our customers but if you feel we have failed to do so, you are entitled to refer the matter to the Financial Services Ombudsman, 3rd Floor, Lincoln House, Lincoln Place, Dublin 2
(www.financialombudsman.ie).
Order Execution Policy
Introduction
This document sets out our execution arrangements when it makes arrangements to buy or sell financial instruments (e.g. shares) for retail clients. Our aim, in line with regulatory requirements, is to achieve the best result for our clients, i.e. “Best Execution”, as described in the Markets in Financial Instruments Directive (MiFID) by taking account of certain factors which are outlined in this document.
Our policy will be reviewed at least annually and we will inform clients of changes to the policy by publishing our current policy on our website at www.wealth.goldcore.com
Treating customers fairly
The core of our Best Execution policy is to ensure that all our clients are treated fairly. This means that the same procedures and safeguards will be in place for all of our clients, irrespective of the type of service that they receive from us.
GoldCore has made a commitment that we will not carry out principal business (i.e. dealing for our own account) apart from in exceptional circumstances (such as correcting an error). Thus, we do not have any conflict of interest with any of our clients’ dealings.
Through our Stockbroker/Custodian arrangements, we have access to many exchanges. Wherever possible, transactions will be carried out and reported on a regulated market (“on-market”).
Best Execution does not apply to transactions in currencies, commodities and unit trusts/mutual funds. Most currency trades and commodities are normally transacted in a highly liquid environment but trades are not published. Unit trusts/mutual funds are normally traded directly with the manager at a fixed price on any given dealing day.
Best Execution/Best Possible Result
There is no formal definition of Best Execution but it refers to an obligation to transact deals on the right terms for our clients.
We “…must take all reasonable steps to obtain the best possible result, taking into account price, costs, speed, likelihood of execution and settlement, size, nature or any other consideration relevant to the execution of the order”. Source MiFID Article 21.1
We refer to this obligation as the “Best Possible Result”.
Guidelines have been established for GoldCore’s administrators and communicated to our clients, that we do not attempt to “time the market”. At a strategic level, we advocate a buy and hold strategy.
In this respect, we will transmit client orders to our market counterparties for execution on a best execution basis which we define to mean by the end of the third working day following full receipt of funds in the clients account.
If there is a reason for a deviance or delay from this it must be noted on the account.
We only implement trades when the full amount of the clients funds have been received. Where a client is making multiple deposits it is company policy to wait until all funds are received before implementing trades. We will only deviate from this policy where previously agreed with the client.
GoldCore take no responsibility for any delay in investing funds where we have not been notified by the client or their adviser/trustee that funds are being transferred to their custodian account.
Services
The Wealth Management Service, provided by GoldCore, provides a risk-managed, advisory portfolio management service which invests primarily in collective investments.
We may provide limited execution-only services to existing clients for non-collective investment holdings, such as equities. We do not provide advice in relation to the buying and selling of individual non-collective investments, nor do we exercise discretion regarding timing/price.
Order Execution Policy
We do not execute client orders. These are transmitted to other entities, which in turn provide execution of the client order. We transmit client orders through firms that provide Best Execution in accordance with the appropriate regulatory standards.
Order Execution Policy Limitations
For financial instruments traded on a recognised exchange e.g. shares:
When the client gives an instruction to buy or sell a security, the instruction the client gives may limit the extent to which the Order Execution Policy is applied. In simple terms, where the client gives a specific instruction with no latitude, we will execute the client’s instruction and the client takes responsibility for Best Execution.
Where the client gives an instruction and some latitude remains, we will execute the client’s instruction in accordance with our policy. However, in respect of the factors the client has mandated, the client will take responsibility for Best Execution.
We do not provide advice in relation to buying and selling of individual non-collective financial instruments (e.g. shares in a single company). This means that where holdings are being sold as a result of general advice the client has received from us, the holding will be sold using an execution venue which will obtain the best result at that time subject to any instructions the client may give. We will not be advising the client regarding the merits of purchase or disposal of the particular holding, the timing of the purchase or sale and whether such consideration could achieve a better result for the client.
For collective investments under our Wealth Management Service:
The Wealth Management Service offers risk-based advisory portfolio management and invests primarily in units in collective investments.
In the case of Mutual funds, such units are normally only available to buy from one venue and at one price. In this case, the Order Execution policy will be to buy or sell units in accordance with the advisory portfolio mandate obligations set out in the our letter of engagement agreement which are also designed to achieve the best results for clients.
In the case of Exchange Traded Funds (ETFs) : ETFs can be traded in real time throughout the day rather than at one fixed point as with unit trusts or mutual funds.
GoldCore does not exercise discretion regarding timing/price. GoldCore’s investment philosophy is based around a buy and hold strategy with regular portfolio rebalancing based around asset allocation.
Execution Venues
We are not an execution venue. We will place Client Orders with regulated venues who will in turn execute the deal.
The venues to which we will transmit our Client Orders are regulated and are required to deliver Best Execution.
When considering the selection of venues, we will consider price, execution costs, liquidity (availability) of the financial instrument(s), the speed of execution, settlement and clearing facilities as well as the creditworthiness of the venue itself. The selected venue(s) will be assessed regularly and we reserve the right to change venues or use another venue in achieving “best execution” for our clients.
Where a client requests an order to be executed outside a regulated market, subject to our agreement to make such an arrangement, GoldCore will require the client’s prior express consent.
The execution venues used will be member firms of recognized Stock Exchanges.
This document is effective from December 2011 until further notice.