Introducing the new Liquid Reserves Portfolio
Take advantage of the high interest environment and open a flexible, low-risk & liquid portfolio, benefitting from a current gross yield of 5.2% p.a. for GBP portfolios
A low-risk investment offering for our clients
The Netwealth Liquid Reserves portfolio is comprised of low-risk money market funds and ultra-short term bonds.
Money market funds offer cash-like returns by investing in a diversified pool of high quality and short term fixed income securities. As the underlying assets are issued by governments, banks and other companies with very strong balance sheets and high credit ratings, they offer very predictable returns, in line with interest rates. In this way, they aim to deliver a combination of capital preservation, diversification, liquidity and yield.
While we advocate for long-term investing and its benefits, this portfolio can be a good choice for investors looking to make the most of higher interest rates, or to steer away from market volatility. The portfolio has daily liquidity, if needed.
Please remember that when investing your capital is at risk. This offering is considered low-risk, however the value of your investment may still fluctuate over a specific period.
How to open your Liquid Reserves Portfolio
Opening a new Liquid Reserves portfolio
To open your Liquid Reserves portfolio log in into your Netwealth account and select 'New Portfolios' in the top nav bar. Then go through the quick portfolio opening process, choosing your account type, contributions and selecting 'Risk Level 1' in the 'Set Risk Level' section.
Change your Netwealth portfolio
To switch your existing account to a Liquid Reserves, log in to your account online and, on the portfolio you wish to change, select ‘Review and Update’. At the bottom of the next screen select ‘Make Changes’, and change the portfolio to Risk Level 1.
Not a client yet? Open a Netwealth account
To open a new Netwealth account, you will just need to sign-up online, and go through the account opening process. It should not take more than 10 minutes, and our client service team will then follow-up with you to confirm your details and portfolio selection.
Income. With all the Netwealth benefits
100% flexibility
There is no minimum period to hold your money and you can exit or move your cash to another Netwealth portfolio at any time. Income is paid every month into your account.
Full service account
Invest in a Liquid Reserves portfolio using tax wrappers including Pension and ISAs and also benefit from our services around contributions, withdrawals and transfers.
Managed by an expert team
Similar to our other portfolios, the Netwealth Liquid Reserves is overseen by our investment team who actively monitor its performance and risk.
Qualified advisers available
Our team of financial advisers are at hand should you need to check-in on your financial goals or reassess your plans for the future.
Much more than yield: a full service account
Our experienced advisers and powerful financial planning tools are available to plan and manage your wealth with you, helping you to meet your long-term goals.
Our client service team are also on hand to answer your day to day queries and help set up any regular contributions, withdrawals or manage transfers from other providers on your behalf.
You can open a Liquid Reserves Portfolio in all of our account types - General Investment, ISA, JISA and Pensions - so it is easy to hold one alongside your existing investment portfolio
An experienced team looking after your money
Our highly experienced investment team offers a wide range of portfolios to give all clients the best chance of meeting their investment goals. We keep costs much lower than traditional wealth managers by investing mainly in passive funds and ETFs, and by using powerful technology to increase our efficiency. Yet we take a very active approach to managing money and reducing risk: by constantly monitoring the economy and markets we are well placed to adapt our investment positions depending on the environment.
This approach also helps us to spot opportunities – and to continually deliver a service which meets the needs of investors today.
Netwealth Liquid Reserves FAQs
How do I open or move to a Netwealth Liquid Reserves portfolio?
To open your Liquid Reserves portfolio just log in into your Netwealth account, and select 'New Portfolios' in the top nav bar. Then go through the usual portfolio opening process, choosing your account type, contributions and selecting 'Risk Level 1' in the 'Set Risk Level' section. As always, if you need any help setting up your portfolio, please contact our client service team at clientservice@netwealth.com or 020 3795 4747.
What are the assets behind the Netwealth Liquid Reserves?
This portfolio consists of high-quality, short-term assets including fixed income, cash, and money market funds. The fixed income exposure comprises short-term debt from governments, banks and companies with strong balance sheets and high credit ratings. The assets in the Liquid Reserves aim to deliver a combination of capital preservation, liquidity, and yield.
What is the expected yield from this type of account?
Due to the high-interest rate environment we currently find ourselves in, the estimated gross yield on offer for this portfolio is 5.3% per annum for GBP portfolios, and the income is paid monthly into your account. There is no minimum holding period and you can exit or move the cash to another Netwealth portfolio at any time. This is not a guaranteed rate and is subject to change.
What is the risk associated with this Portfolio?
This portfolio is appropriate for the most conservative investors who are seeking capital preservation and yield from a diversified portfolio with daily liquidity. Please remember that despite this offering being low risk and low volatility, it is still an investment and when investing your capital is at risk. The Portfolio is managed by our investment team who actively select the most appropriate assets as well as monitoring performance and risk.
What are the fees for the Liquid Reserves?
We aim to keep the total cost of investing as low as possible, and we provide total transparency to our clients. The investment management and admin fee for the Liquid Reserves Portfolio is 0.70% if you invest between £50,000 and £249,999, 0.55% for investments between £250,000 and 999,999 and 0.40% if you invest more than £1,000,000. There are also underlying fund and trading costs, estimated at 0.15% and applicable to any level of investment.
Our fees are based on the total net contributions to your account and include: investment management, custody and safe keeping of your investments, transaction charges, administration, and any applicable VAT.
We do not charge initial fees or fees to transfer in pensions, ISAs or cash.
Who will be looking after my money?
The Liquid Reserves portfolio, like our other Netwealth portfolios, is managed by our investment team. Our experienced team manage portfolios actively whilst keeping costs lower than traditional wealth managers by investing mainly through passive funds. The investment team closely monitor the economy and markets and adapt our investment positions across all portfolios accordingly.
In terms of security, all client assets are separately custodied and ring-fenced. Client money is held in accordance with the applicable FCA rules and protected under the Financial Services Compensation Scheme (FSCS).
Can I open an ISA or pension with the Netwealth Liquid Reserves?
Yes, you can invest in this portfolio using Pension and ISA tax wrappers up to the respective personal annual allowances.
Is there a minimum period to hold my money on the Netwealth Liquid Reserves?
There is no minimum period to hold your money and you can exit or move your cash to another Netwealth portfolio at any time. Income is paid every month into your account.
I am already invested in Risk Level 1, do I need to do anything?
No if your goal remains a low risk investment targeting capital preservation, liquidity and a secure yield, then if you remain in Risk Level 1 you will be invested in the Liquid Reserves portfolio. If you want to take a higher level of risk then you can switch Risk Level in the normal way. Our advisers are available to provide further guidance.
