Model portfolios
Five portfolios selected and managed by experts. Designed to help you realise your financial goals.
Important information - the value of your investments may go down as well as up. You may not get back all the money that you invest. Investing in emerging markets involves different risks from developed markets. In many cases the risks are greater. The value of international investments is affected by currency fluctuations which might reduce their value in sterling. The selection of these funds does not constitute a personal recommendation. We have not assessed your personal circumstances or preferences.
Looking for ideas to fit your investment goals? Then look no further than our model portfolios, selected and managed by our independent research partner Morningstar and reviewed by our in-house investment experts. Designed to make selections easier for investors, these five portfolios offer either growth or income options, with a choice of actively managed investments or low-cost tracker funds.
Full details of our methodology, including how the model portfolios are constructed and managed, as well as the full selection process can be found here.
Our model portfolios are designed to help investors realise their financial goals. They comprise our highest-conviction choices from the whole fund universe and are built upon a proven selection process. Created with an asset allocation to global equities of between 80% and 100%, they are designed for investors who have at least five years before they need the money.
Performance of models over 12-month time periods
| Discrete (%) returns for the periods*: | |||
| 01/10/2022-30/09/2023 | 01/10/2021-30/09/2022 | 01/10/2020-30/09/2021 | |
| Growth Models | |||
| ii Active Growth | 6.42 | -15.35 | 25.41 |
| ii Low-Cost Growth | 8.70 | -5.95 | 23.11 |
| ii Sustainable Growth | 5.05 | -17.88 | 22.89 |
| Growth Benchmark | 10.57 | -5.12 | 21.31 |
| Income Models | |||
| ii Active Income | 7.70 | -2.86 | 22.91 |
| ii Low-Cost Income | 5.18 | -1.04 | 19.54 |
| Income Benchmark | 10.57 | -5.12 | 21.31 |
| Morningstar 80%+ Equity Category Average | 6.32 | -9.61 | 20.43 |
Notes *as at 30 September 2023. Portfolio launch date (for monitoring purposes) was 1 January 2019, except Sustainable Growth portfolio, launched 1 October 2019. Data source: Morningstar Direct. Benchmark: Morningstar UK Adventurous Target Allocation. Past performance is not a reliable indicator of future results.
Prices, information, data, analyses and opinions provided by Morningstar © 2023 Morningstar. All Rights Reserved. The information, data, analyses and opinions (“Information”) contained herein: (1) include the proprietary information of Morningstar and its content providers; (2) may not be copied or redistributed except as specifically authorised; (3) do not constitute investment advice; (4) are provided solely for informational purposes; (5) are not warranted to be complete, accurate or timely; and (6) may be drawn from data published on various dates. Morningstar is not responsible for any trading decisions, damages or other losses related to the Information or its use. Please verify all of the Information before using it and don’t make any investment decision except upon the advice of a professional financial adviser. Past performance is no guarantee of future results. The value and income derived from investments may go down as well as up.
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What will it cost to buy and sell the model portfolios?
You will have to buy and sell each constituent individually. Lump-sum investment starts from as little as £3.99 online with ii, depending on the Service Plan you select. You can also invest monthly using our free regular investment service. A 0.5% UK stamp duty applies when you buy investment trust shares and government charges apply to some investments.
Our model portfolios
A portfolio of 12 actively managed funds and trusts for investors building their assets.
A portfolio of 11 high yielding, actively managed funds and trusts for investors seeking income from their assets.
A portfolio of 10 low-cost tracker funds and ETFs for investors buildings their assets.
A portfolio of 10 low-cost, high yielding tracker funds and ETFs for investors seeking income from their assets.
A portfolio of 12 funds that invest in a socially responsible manner.
Active growth
This portfolio is designed for investors who are building their wealth and are interested in investing in actively managed funds, whose managers are able to select the investments they want, rather than passively tracking an investment index.
The following table lists the constituents of the active growth portfolio and the current portfolio weighting of each. The Product Cost includes both the ongoing charge and any other costs associated with managing the investment, including transaction costs, incurred by the manager buying and selling underlying investments. It is a more accurate indication of the total annual costs, rather than just using the ongoing charge figure. We also show how a £20,000 investment would be allocated.
| Investment | Portfolio Weighting | Ongoing Charge (OCF) | Product Cost | Allocation of £20,000 |
| Dodge & Cox Worldwide Global Stk GBP Acc (B54J687) | 15% | 0.63% | 0.69% | £3,000 |
| Jupiter UK Special Situations I Acc (B4KL9F8) | 12% | 0.76% | 0.95% | £2,400 |
| Scottish Mortgage Ord (LSE:SMT) | 5% | 0.84% | 0.89% | £1,000 |
| Fidelity Global Dividend W Acc (B7GJPN7) | 11% | 0.91% | 1.05% | £2,200 |
| Fundsmith Equity I Acc (B41YBW7) | 10% | 0.94% | 0.96% | £2,000 |
| F&C Investment Trust Ord (LSE:FCIT) | 12% | 0.54% | 1.13% | £2,400 |
| Natixis Loomis Sayles US Eq Ldrs I/A £ (B97J2N9) | 6% | 0.80% | 2.13% | £1,200 |
| JPMorgan Emerging Markets Ord (LSE:JMG) | 5% | 0.86% | 0.98% | £1,000 |
| Capital Gearing Ord (LSE:CGT) | 5% | 0.52% | 0.50% | £1,000 |
| LF Ruffer Diversified Return C GBP Acc (BMWLQT5) | 5% | 1.12% | 1.81% | £1,000 |
| JPM US Value C (dist) GBP (B7JVJ72) | 6% | 0.80% | 0.94% | £1,200 |
| Royal London Sustainable Leaders C Acc (B7V23Z9) | 8% | 0.76% | 0.98% | £1,600 |
| Total / Weighted Average | 100% | 0.77% | 1.13%* | £20,000 |
* This is the combined figure for the portfolio, based on the current portfolio weighting. Data correct as at 1 April 2023.
In addition, ii charges a monthly Service Plan fee and a separate SIPP fee. Our monthly fee comes with trading credits. Trade costs are usually £3.99 and free for regular investments. Please note that UK Stamp Duty Reserve Tax is not tiered and is charged at 0.5% on Investment Trusts. For full details on our charges please see our Rates & Charges.
Timeline
| April 2023 | Annual review A full rebalancing back to the target Asset Allocation and Fund weightings Following the changes to Morningstar's UK Adventurous Target Allocation Index, some fund weights have been adjusted or replaced in the portfolio. |
| April 2023 | Buy Dodge & Cox Worldwide Global Stock Fund A value focussed global fund with a bias towards large-cap stocks in order to increase alpha potential where we have reduced exposure to lower beta investments |
| April 2023 | Buy Royal London Sustainable Leaders Fund A UK equity fund with long-term growth emphasis, added to replace Ninety One UK Alpha |
| April 2023 | Buy JPM US Value Fund A value biased fund to add high conviction US equity active management replacing reduced passive exposure |
| April 2023 | Buy Natixis Loomis Sayles US Equity Leaders Fund A Growth biased fund to add high conviction US equity active management replacing reduced passive exposure |
| April 2023 | Sell Abrdn Private Equity Opportunities Trust To align the Model more closely with the benchmark allocation by reducing unlisted exposure |
| April 2023 | Sell Ninety One UK Alpha Fund Removed following the manager’s departure in March 2023 |
| April 2023 | Sell Vanguard U.S. Equity Index Fund To make way for actively managed US equity funds |
| April 2022 | Annual review Our Asset Allocation is based on Morningstar’s UK Adventurous Target Allocation Index created by taking an average of the asset class exposures of all the multi-asset funds with similar equity levels as defined by Morningstar’s GBP Allocation 80 + Equity Category Following the migration to Morningstar's UK Adventurous Target Allocation Index some fund weights have been adjusted and one fund has been removed from the portfolio. |
| April 2022 | Buy Vanguard US Equity Index Fund Provides passive exposure to a broad and diversified index of US equities, at an attractive fee. |
| April 2022 | Buy LF Ruffer Diversified Return Fund Multi-asset portfolio targeting downside protection, risk mitigation and inflation protection. |
| April 2022 | Sell Jupiter Strategic Bond Reducing Bond exposure and specifically Corporate Bond exposure. |
| February 2022 | Buy Ninety One UK Alpha Fund Core UK equities portfolio of quality-growth and restructuring/cyclical holdings. |
| February 2022 | Sell Liontrust Special Situations Fund Replaced with Ninety One UK Alpha Fund. |
| February 2022 | Buy Jupiter UK Special Situations Fund Contrarian, value-oriented portfolio of around 40 stocks with a bias to names in the FTSE 350 Index. |
| February 2022 | Sell CFP SDL UK Buffettology Fund Replaced with Jupiter UK Special Situations Fund. |
| March 2021 | Annual review A full rebalancing back to the target Asset Allocation and Fund weightings Our Asset Allocation has not changed since inception. However, as a result of performance of individual funds, the portfolio had diverged from the original weightings. |
| November 2020 | Quarterly review A selective rebalancing back to the target Fund weightings: from Scottish Mortgage IT to Liontrust Special Situations and Jupiter Strategic Bond Funds Our Asset Allocation has not changed since inception. However, as a result of performance of individual funds such as Scottish Mortgage IT, the portfolio had diverged from the original weightings. |
| April 2020 | Buy Scottish Mortgage Trust Global exposure to exciting disruptive growth companies, public and private, selected by highly experienced managers at Baillie Gifford. |
| April 2020 | Buy Abrdn Private Equity Opportunities High conviction portfolio of third-party private equity funds selected by Aberdeen Standard Investments. |
| April 2020 | Annual Review Increase in the number of funds for greater diversification and a full rebalancing back to the target Asset Allocation and Fund weightings Our Asset Allocation has not changed since inception. However, as a result of market volatility in the first quarter and performance of individual funds, the portfolio had diverged from the original weightings. |
| January 2019 | Portfolio launched |
Active income
This portfolio is designed for investors who are looking for income and are interested in investing in actively managed funds, whose managers are able to select the investments they want, rather than passively track an investment index.
Among the portfolio’s fund holdings, the appropriate ‘income’ share class has been selected. This means income generated by the fund is not automatically reinvested, as it is with an ‘accumulation’ share class. For the portfolio’s investment trust holdings, dividends can either be taken as cash or reinvested. The latter option can be achieved via ii’s dividend reinvestment service.
The following table lists the constituents of the active income portfolio and the current portfolio weighting of each. The Product Cost includes both the ongoing charge and any other costs associated with managing the investment, including transaction costs, incurred by the manager buying and selling underlying investments. It is a more accurate indication of the total annual costs, rather than just using the ongoing charge figure. We also show how a £20,000 investment would be allocated.
| Investment | Portfolio Weighting | Ongoing Charge (OCF) | Product Cost | Historic Yield | Allocation of £20,000 |
| City of London Ord (LSE:CTY) | 7% | 0.74% | 0.85% | 4.67% | £1,400 |
| Man GLG Income Professional Inc D (B0117D3) | 7% | 0.90% | 0.90% | 5.51% | £1,400 |
| Fidelity Global Dividend W Inc (B777808) | 15% | 0.91% | 1.05% | 2.84% | £3,000 |
| M&G Global Dividend GBP I Inc (B39R2R3) | 15% | 0.66% | 0.73% | 2.25% | £3,000 |
| Bankers Ord (LSE:BNKR) | 10% | 0.73% | 0.86% | 2.24% | £2,000 |
| Morgan Stanley Glb Brands Eq Inc I Inc (BZ4CG53) | 15% | 1.00% | 1.08% | 4.25% | £3,000 |
| Murray International Ord (LSE:MYI) | 11% | 0.87% | 0.93% | 4.18% | £2,200 |
| Jupiter Strategic Bond I Inc (B544HM3) | 5% | 0.73% | 0.95% | 4.65% | £1,000 |
| JPM Emerging Markets Income C Net Inc (B5N1BC3) | 5% | 0.83% | 1.16% | 0.93% | £1,000 |
| Balanced Commercial Property Ord (LSE:BCPT) | 5% | 0.9% | 2.77% | 5.82% | £1,000 |
| Artemis Monthly Distribution I Inc (B6TK3R0) | 5% | 0.87% | 1.29% | 4.84% | £1,000 |
| Total / Weighted Average | 100% | 0.84%* | 1.1% | 4.11% | £20,000 |
*These are the combined figures for the portfolio, based on the current portfolio weighting. Data correct as at 1 April 2023.
In addition, ii charges a monthly Service Plan fee and a separate SIPP fee. Our monthly fee comes with trading credits. Trade costs are usually £3.99 and free for regular investments. Please note that UK Stamp Duty Reserve Tax is not tiered and is charged at 0.5% on Investment Trusts. For full details on our charges please see our Rates & Charges.
Timeline
| April 2023 | Annual review A full rebalancing back to the target Asset Allocation and Fund weightings Following the changes to Morningstar's UK Adventurous Target Allocation Index, some fund weights have been adjusted or replaced in the portfolio. |
| April 2023 | Buy JPM Emerging Markets Income Fund An actively managed fund with an established investment process to access income from emerging market economies |
| April 2023 | Sell Abrdn Private Equity Opportunities Trust To align the Model more closely with the benchmark allocation by reducing unlisted exposure |
| April 2022 | Annual review Our Asset Allocation is based on Morningstar’s UK Adventurous Target Allocation Index created by taking an average of the asset class exposures of all the multi-asset funds with similar equity levels as defined by Morningstar’s GBP Allocation 80 + Equity Category Following the migration to Morningstar's UK Adventurous Target Allocation Index some fund weights have been adjusted and one fund has been removed from the portfolio. |
| April 2022 | Buy M&G Global Dividend Fund Compact portfolio of global stocks with a clear focus on dividend growth. |
| April 2022 | Buy Artemis Monthly Distribution Fund Multi-asset portfolio of income generating securities, typically with a 40/60 equity bond split respectively. |
| April 2022 | Sell Utilico Emerging Markets Trust Reducing Mid and Small cap exposure. |
| March 2021 | Annual review A full rebalancing back to the target Asset Allocation and Fund weightings Our Asset Allocation has not changed since inception. However, as a result of performance of individual funds, the portfolio had diverged from the original weightings. |
| August 2020 | Dividend reinstatement BMO Commercial Property Trust The trust has reintroduced monthly dividends at 0.25p per share which is 50% of the previous rate. |
| August 2020 | Buy Morgan Stanley Global Brands Equity Income Fund Global portfolio of high-quality stocks with an enhanced income generated from dividends and premiums from selling index call options. |
| August 2020 | Increase Murray International Trust Increased allocation from 10% to 15% of the overall portfolio. |
| August 2020 | Sell Artemis Global Income Fund Replaced with Morgan Stanley Global Brands Equity Income Fund. |
| May 2020 | Buy Jupiter Strategic Bond Fund ‘Go-anywhere’ bond fund that invests in the best opportunities globally, across global credit and sovereign bond markets. Derivatives may be used to manage risk and all foreign currency exposure is hedged back to sterling. |
| May 2020 | Sell Royal London Sterling Extra Yield Bond Fund Replaced with Jupiter Strategic Bond Fund. |
| April 2020 | Dividend suspension BMO Commercial Property Trust The trust has temporarily suspended its future monthly dividend payments amid the uncertainty brought about by the coronavirus pandemic. It last paid a 0.5 pence per share dividend on 31 March. The suspension is aimed at preserving the long-term value of the trust and bolster its cash reserves. |
| April 2020 | Buy UK equities portfolio with a bias towards large, multinational companies. A conservative management style employed by the manager at Janus Henderson prioritises sustainable income and long-term capital growth. |
| April 2020 | Sell Threadneedle UK Equity Income Fund Replaced with Super 60 rated City of London Trust. |
| April 2020 | Buy Fidelity Global Dividend Fund Sound, high-conviction portfolio of quality, global large capitalisation companies with a focus on total return and downside protection. |
| April 2020 | Sell Henderson International Income Trust Replaced with Super 60 rated Fidelity Global Dividend Fund. |
| April 2020 | Buy Murray International Trust Globally diversified portfolio of high-quality defensive stocks. Bonds are also used to enhance the dividend yield as well as to diversify equity exposure. Managed by Aberdeen Standard Investments. |
| April 2020 | Annual review Increase in the number of funds for greater diversification and a full rebalancing back to the target Asset Allocation and Fund weightings Our Asset Allocation has not changed since inception. However, as a result of market volatility in the first quarter and performance of individual funds, the portfolio had diverged from the original weightings. |
| August 2019 | Sell Renewables Infrastructure Trust Premium too high. Replaced with BMO Commercial Property and Abrdn Private Equity Opportunities (formerly named Standard Life Private Equity). |
| August 2019 | Buy BMO Commercial Property Trust Diversified portfolio of prime UK commercial property. |
| August 2019 | Buy Abrdn Private Equity Opportunities High conviction portfolio of third-party private equity funds selected by Abrdn Investments. |
| January 2019 | Portfolio launched |
Low-cost growth
This portfolio is designed for investors who are building their wealth and are interested in investing in low-cost tracker funds, which aim to replicate the performance of an index and where there is no fund manager discretion.
The following table lists the constituents of the low-cost growth portfolio and the current portfolio weighting of each. The Product Cost includes both the ongoing charge and any other costs associated with managing the investment, including transaction costs, incurred by the manager buying and selling underlying investments. It is a more accurate indication of the total annual costs, rather than just using the ongoing charge figure. We also show how a £20,000 investment would be allocated.
| Investment | Portfolio Weighting | Ongoing Charge (OCF) | Product Cost | Allocation of £20,000 |
| Fidelity Index UK P Acc (BJS8SF9) | 18% | 0.06% | 0.09% | £3,600 |
| Vanguard FTSE 250 ETF GBP Acc (LSE:VMIG) | 3% | 0.35% | 0.35% | £6,00 |
| L&G Global 100 Index I Acc (B0CNH05) | 15% | 0.14% | 0.16% | £3,000 |
| iShares Core MSCI World ETF USD Acc GBP (LSE:SWDA) | 18% | 0.20% | 0.20% | £3,600 |
| Vanguard FTSE Dev Eurp ex UK ETF Acc GBP (LSE:VERG) | 5% | 0.10% | 0.13% | £1,000 |
| Vanguard U.S. Eq Idx £ Acc (B5B71Q7) | 8% | 0.10% | 0.11% | £1,600 |
| Vanguard Glb Small-Cp Idx £ Acc (B3X1NT0) | 10% | 0.30% | 0.36% | £2,000 |
| Fidelity Index Emerging Markets P Acc (BHZK8D2) | 8% | 0.20% | 0.22% | £1,600 |
| Vanguard Glb Bd Idx £ H Acc (B50W2R1) | 5% | 0.15% | 0.29% | £1,000 |
| L&G Multi-Index 7 I Acc (B9LF0M8) | 10% | 0.35% | 0.37% | £2,000 |
| Total / Weighted Average | 100% | 0.18%* | 0.28%* | £20,000 |
* This is the combined figure for the portfolio, based on the current portfolio weighting. Data correct as at 1 April 2023.
In addition, ii charges a monthly Service Plan fee and a separate SIPP fee. Our monthly fee comes with trading credits. Trade costs are usually £3.99 and free for regular investments. Please note that UK Stamp Duty Reserve Tax is not tiered and is charged at 0.5% on Investment Trusts. For full details on our charges please see our Rates & Charges.
Timeline
| April 2023 | Annual review A full rebalancing back to the target Asset Allocation and Fund weightings Following the changes to Morningstar's UK Adventurous Target Allocation Index, some fund weights have been adjusted or replaced in the portfolio. |
| April 2023 | Buy L&G Multi Index 7 Fund This fund largely invests in mainstream funds but also has allocations to alternatives and thematic products, which adds differentiation to this model |
| April 2023 | Sell iShares Environment & Low Carbon Tilt Real Estate Index Fund This product has seen a change of mandate to introduce environmental and low carbon elements and therefore no longer matches our initial selection rationale |
| April 2023 | Sell WisdomTree Enhanced Commodity ETF With benchmark level exposure to listed commodity sectors from the remaining portfolio holdings this fund has been removed to provide more balance to the Model. |
| April 2022 | Annual review Our Asset Allocation is based on Morningstar’s UK Adventurous Target Allocation Index created by taking an average of the asset class exposures of all the multi-asset funds with similar equity levels as defined by Morningstar’s GBP Allocation 80 + Equity Category Following the migration to Morningstar's UK Adventurous Target Allocation Index some fund weights have been adjusted. |
| April 2022 | Buy Vanguard FTSE Dev Europe ex UK ETF Passive exposure to a developed country index of European ex-UK equities, at an attractive fee. |
| April 2022 | Buy Vanguard US Equity Index Fund Provides passive exposure to a broad and diversified index of US equities, at an attractive fee. |
| March 2021 | Annual review A full rebalancing back to the target Asset Allocation and Fund weightings Our Asset Allocation has not changed since inception. However, as a result of performance of individual funds, the portfolio had diverged from the original weightings. |
| April 2020 | Buy Vanguard FTSE 250 ETF Tracks the performance of the FTSE 250 Index of mid-size stocks in the UK. |
| April 2020 | Buy L&G Global 100 Index Fund Tracks the performance of the S&P Global 100 Index of multinational companies. |
| April 2020 | Annual review Increase in the number of funds for greater diversification and a full rebalancing back to the target Asset Allocation and Fund weightings Our Asset Allocation has not changed since inception. However, as a result of market volatility in the first quarter and performance of individual funds, the portfolio had diverged from the original weightings. |
| January 2019 | Portfolio launched |
Low-cost income
This portfolio is designed for investors who are building their wealth and are interested in investing in low-cost tracker funds, which aim to replicate the performance of an index and where there is no fund manager discretion.
Among the portfolio’s fund holdings, the appropriate ‘income’ share class has been selected. This means income generated by the fund is not automatically reinvested, as it is with an ‘accumulation’ share class. For the portfolio’s ETF holdings, dividends can either be taken as cash or reinvested. The latter option can be achieved via ii’s dividend reinvestment service.
The following table lists the constituents of the low-cost income portfolio and the current portfolio weighting of each. The Product Cost includes both the ongoing charge and any other costs associated with managing the investment, including transaction costs, incurred by the manager buying and selling underlying investments. It is a more accurate indication of the total annual costs, rather than just using the ongoing charge figure. We also show how a £20,000 investment would be allocated.
| Investment | Portfolio Weighting | Ongoing Charge (OCF) | Product Cost | Historic Yield | Allocation of £20,000 |
| Vanguard FTSE UK Eq Inc Idx £ Inc (B5B7468) | 10% | 0.14% | 0.42% | 5.34% | £2,000 |
| SPDR® S&P UK Dividend Aristocrats ETF (LSE:UKDV) | 5% | 0.55% | 0.55% | 4.64% | £1,000 |
| SPDR® S&P Global Div Aristocrats ETF GBP (LSE:GBDV) | 10% | 0.45% | 0.60% | 4.47% | £2,000 |
| WisdomTree Globl Qual Div Gr ETF USD Acc GBP (LSE:GGRG) | 21% | 0.38% | 0.43% | 2.23% | £4,200 |
| Vanguard FTSE AllWld HiDivYld ETF $Dis GBP (LSE:VHYL) | 21% | 0.29% | 0.38% | 3.79% | £4,200 |
| Invesco FTSE RAFI US 1000 ETF GBP (LSE:PSRF) | 8% | 0.39% | 0.40% | 2.02% | £1,600 |
| WisdomTree Emrgng Mkts Equity Income ETF GBP (LSE:DEM) | 10% | 0.46% | 0.57% | 10.11% | £2,000 |
| Vanguard Glb Bd Idx £ H Dist (B2RHVP9) | 5% | 0.15% | 0.29% | 1.88% | £1,000 |
| SPDR® Morningstar Mlt-Asst Glb Infrs ETF GBP (LSE:GIN) | 5% | 0.40% | 0.42% | 3.78% | £1,000 |
| iShares Core FTSE 100 ETF GBP Dist (LSE:ISF) | 5% | 0.07% | 0.11% | 3.66% | £1,000 |
| Total / Weighted Average | 100% | 0.34%* | 0.47%* | 4.55%* | £20,000 |
* This is the combined figure for the portfolio, based on the current portfolio weighting. Data correct as at 1 April 2023.
In addition, ii charges a monthly Service Plan fee and a separate SIPP fee. Our monthly fee comes with trading credits. Trade costs are usually £3.99 and free for regular investments. Please note that UK Stamp Duty Reserve Tax is not tiered and is charged at 0.5% on Investment Trusts. For full details on our charges please see our Rates & Charges.
Timeline
| April 2023 | Annual review A full rebalancing back to the target Asset Allocation and Fund weightings Following the changes to Morningstar's UK Adventurous Target Allocation Index, some fund weights have been adjusted or replaced in the portfolio. |
| April 2023 | Buy iShares Core FTSE 100 ETF This passive fund is low cost and focuses on larger UK companies, helping to reduce the Model’s bias down the market cap scale |
| April 2023 | Sell iShares Environment & Low Carbon Tilt Real Estate Index Fund This product has seen a change of mandate to introduce environmental and low carbon elements and therefore no longer matches our initial selection rationale |
| April 2022 | Annual review Our Asset Allocation is based on Morningstar’s UK Adventurous Target Allocation Index created by taking an average of the asset class exposures of all the multi-asset funds with similar equity levels as defined by Morningstar’s GBP Allocation 80 + Equity Category Following the migration to Morningstar's UK Adventurous Target Allocation Index some fund weights have been adjusted. |
| April 2022 | Buy Invesco FTSE RAFI US 1000 ETF Passive exposure to the 1,000 largest constituents from the FTSE U.S. All Cap Index ranked by a composite of book value, cash flow, sales, and dividends. |
| March 2021 | Annual review A full rebalancing back to the target Asset Allocation and Fund weightings Our Asset Allocation has not changed since inception. However, as a result of performance of individual funds, the portfolio had diverged from the original weightings. |
| April 2020 | Buy SPDR® S&P UK Dividend Aristocrats ETF Tracks the performance of the S&P UK High Yield Dividend Aristocrats Index of the 40 highest dividend-yielding UK companies. |
| April 2020 | Buy WisdomTree Global Quality Dividend Growth ETF Tracks the performance of the WisdomTree Global Developed Quality Dividend Growth, a fundamentally weighted index that is comprised of companies with the best combined rank of growth and quality factors from global developed markets. |
| April 2020 | Buy WisdomTree Emerging Markets Equity Income ETF Tracks the WisdomTree Emerging Markets Dividend, fundamentally weighted index and comprises the highest dividend-yielding stocks. |
| April 2020 | Sell iShares EM Dividend ETF Replaced with WisdomTree Emerging Markets Equity Income ETF. |
| April 2020 | Annual review Increase in the number of funds in the portfolio for greater diversification and a full rebalancing back to the target Asset Allocation and Fund weightings Our Asset Allocation has not changed since inception. However, as a result of market volatility in the first quarter and performance of individual funds, the portfolio had diverged from the original weightings. |
| January 2019 | Portfolio launched |
Sustainable growth
A portfolio designed to give investors an idea about how they can build their own diversified sustainable portfolio.
You can find out more about how we select sustainable investments here.
The following table lists the constituents of the sustainable growth portfolio and the current portfolio weighting of each. The Product Cost includes both the ongoing charge and any other costs associated with managing the investment, including transaction costs, incurred by the manager buying and selling underlying investments. It is a more accurate indication of the total annual costs, rather than just using the ongoing charge figure. We also show how a £20,000 investment would be allocated.
| Name | ii ACE ethical style | Portfolio Weighting | Ongoing Charge (OCF) | Product Cost | Allocation of £20,000 |
| Royal London Sustainable Leaders C Acc (B7V23Z9) | Considers | 10% | 0.76% | 0.98% | £2,000 |
| Schroder Global Sust Val Eq Z Cap (BF783V3) | Considers | 10% | 0.93% | 1.26% | £2,000 |
| Trojan Ethical Income X Acc (BKTW4T3) | Avoids | 6% | 0.87% | 1.01% | £1,200 |
| CT Responsible Global Equity 2 Acc (3314504) | Considers | 15% | 0.79% | 0.97% | £3,000 |
| Baillie Gifford Positive Change B Acc (BYVGKV5) | Embraces | 10% | 0.53% | 0.77% | £2,000 |
| Impax Environmental Markets Ord (LSE:IEM) | Embraces | 5% | 0.81% | 1.05% | £1,000 |
| CT Responsible UK Income 2 Acc (B4NKFT8) | Embraces | 6% | 0.91% | 1.21% | £1,200 |
| iShares MSCI USA SRI ETF USD Acc GBP (LSE:SUUS) | Avoids | 10% | 0.20% | 0.20% | £2,000 |
| Stewart Inv Glbl EM Sustnby B GBP Acc (B64TS99) | Considers | 7% | 0.94% | 1.18% | £1,400 |
| Rathbone Ethical Bond I Acc (B77DQT1) | Considers | 5% | 0.65% | 0.75% | £1,000 |
| iShares MSCI World ESG Enh ETF USD Dist GBP (LSE:EEWG) | Avoids | 11% | 0.20% | 0.22% | £2,200 |
| BNY Mellon Sus Real Return Ins W Acc (BD6DRD5) | Considers | 5% | 0.81% | 1.10% | £1,000 |
| Total | 100% | 0.73% | 0.93%* | £20,000 |
* This is the combined figure for the portfolio, based on the current portfolio weighting. Data correct as at 1 April 2023.
Timeline
| April 2023 | Annual review A full rebalancing back to the target Asset Allocation and Fund weightings Following the changes to Morningstar's UK Adventurous Target Allocation Index, some fund weights have been adjusted or replaced in the portfolio. |
| April 2023 | Buy Schroder Global Sustainable Value Fund This fund is a constituent of the ACE 40 focussing on global equity with a value bias |
| April 2023 | Sell Liontrust UK Ethical Fund Reducing growth bias and aligning to target benchmark |
| April 2023 | Sell Foresight Global Real Infrastructure Removing the fund in order to align the model more closely with the target benchmark |
| April 2023 | Sell Montanaro Better World Fund Reducing mid-cap exposure across the model and aligning to target benchmark |
| April 2023 | Buy iShares MSCI World ESG Enh ETF This ETF offers exposure to global large caps and a blend style profile |
| April 2023 | Buy CT Responsible UK Income Fund To increase large-cap exposure in the model |
| April 2022 | Annual Review Our Asset Allocation is based on Morningstar’s UK Adventurous Target Allocation Index created by taking an average of the asset class exposures of all the multi-asset funds with similar equity levels as defined by Morningstar’s GBP Allocation 80 + Equity Category Following the migration to Morningstar's UK Adventurous Target Allocation Index some fund weights have been adjusted and one fund has been removed from the portfolio. |
| April 2022 | Buy BNY Mellon Sustainable Real Return Fund Multi-asset portfolio with a dynamic allocation strategy that aims to preserve capital with an ESG focus. |
| April 2022 | Buy Trojan Ethical Income Fund Compact portfolio of quality UK companies, with a focus on dividend growth and absolute returns, through an ethical lens. |
| April 2022 | Buy iShares MSCI USA SRI ETF Passive exposure to an ESG-screened portfolio of US equities, at an attractive fee. |
| April 2022 | Sell Syncona Reallocating to less risky alternatives. |
| November 2021 | Annual Review Asset Allocation and Portfolio constituents remained unchanged. Since October the portfolio is set for automatic quarterly rebalancing back to the target Asset Allocation and Fund weighting. |
| March 2021 | Quarterly Review A full rebalancing back to the target Asset Allocation and Fund weightings Our Asset Allocation has not changed since inception. However, as a result of performance of individual funds, the portfolio had diverged from the original weightings. |
| November 2020 | Buy Liontrust UK Ethical Fund Multi-cap portfolio of UK companies, which have strong growth prospects and meet Liontrust’ s environmental and social criteria. |
| November 2020 | Sell Trojan Ethical Income Fund Replaced with Liontrust UK Ethical Fund. |
| November 2020 | Increase BMO Responsible Global Equity Fund Increased allocation from 10% to 15% of the overall portfolio. |
| November 2020 | Buy Baillie Gifford Positive Change Fund Concentrated impact portfolio of 25-50 global high-quality growth companies which can deliver positive change. |
| November 2020 | Sell Fundsmith Sustainable Equity Fund Replaced with Baillie Gifford Positive Change Fund. |
| November 2020 | Buy Montanaro Better World Fund Global small cap portfolio with six core themes and a focus on impact. |
| November 2020 | Sell iShares Global Clean Energy ETF Replaced with Montanaro Better World Fund. |
| November 2020 | Buy FP Foresight Global Real Infrastructure Fund Invests in companies that own or operate real infrastructure or renewable energy assets anywhere in the world. |
| November 2020 | Sell Impact Healthcare REIT Replaced with FP Foresight Global Real Infrastructure Fund. |
| November 2020 | Annual Review A full rebalancing back to the target Asset Allocation and Fund weightings Our Asset Allocation has not changed since inception. However, as a result of performance of individual funds, the portfolio had diverged from the original weightings. |
| March 2020 | Quarterly Review Full rebalancing back to the target Asset Allocation and Fund weightings Our Asset Allocation has not changed since inception. However, as a result of market volatility in the first quarter and performance of individual funds, the portfolio had diverged from the original weightings. |
| October 2019 | Portfolio launched |
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Disclaimer(s)
Our Model portfolios have been compiled by investment experts to help investors who do not have the time or the confidence to make their own investment choices. There are a variety of financial goals they are designed to help people meet.
However, you should note that the selection of our Model portfolios is not a ‘personal recommendation’. This means we have not assessed your investment knowledge, your financial situation (including your ability to bear losses), your investment objectives, your risk tolerance, or your sustainability preferences.
You should ensure that any investment decisions you make are suitable for your personal circumstances, and if you are unsure about the suitability of a particular investment or think you need a personal recommendation, you should speak to a suitably qualified financial adviser.
The past performance of an investment is not a reliable indicator of future results, and ii does not guarantee or predict the future performance of the Model portfolios or the constituent investments.
Disclosure(s)
Annual performance can be found on the factsheet of each fund, investment trust or ETF. Simply click on the asset’s name and then the performance tab.
Any changes to the Model portfolio constituents and the rationale behind those decisions will be communicated through the Quarterly Investment Outlook.
To see a list of previous updates to Model portfolio constituent investments, please go to the relevant Model portfolio’s ‘Timeline’.
ii adheres to a strict code of conduct. Members of ii staff may have holdings in one or more Model portfolios (or the constituent investments), which could create a conflict of interest. Any member of staff involved in the development of research about any financial instrument in which they have an interest are required to disclose such interest to ii. We will at all times consider whether such interest impairs the objectivity of the recommendation to add/remove a constituent investment to/from a Model Portfolio.
In addition, staff involved in compiling the Model portfolios are subject to a personal account dealing restriction. This prevents them from placing a transaction in the specified instrument(s) for five working days before and after an investment is included or amended and made public within a Model portfolio. This is to avoid personal interests conflicting with the interests of investors in the Model portfolios and their constituent investments.