Ethical Model Portfolios

News & Views

Contact Us for more Information: Telephone No : +44 (0)20 7426 5960 Mail : ethical@kasl.co.uk

About Us

King & Shaxson Ethical Investing is a division of King & Shaxson which is part of the Phillip Group, a global company that employs over 3,000 people worldwide. The company dates back to 1866, with clients including well-known building societies and local authorities. Today King & Shaxson has evolved into a specialist investment firm focused on securities dealing, asset management, and treasury consultancy.

The ethical team is personally committed to ethical investment. Strictly an investment management business, we do not advise clients and therefore conduct the majority of our business through independent financial advisers. The King & Shaxson Ethical Investing discretionary managed portfolios provide professional investment management for those individuals who would like their investments to reflect their core beliefs and principles. We can enable advisers and clients to articulate and document what ethical means to the individual.

Management of the portfolios includes asset allocation, investment selection, and ongoing monitoring. We manage and review all holdings, and make changes where necessary.

Ethical Model Portfolios

Our ethical model portfolios were launched in February 2010 following demand from our IFA clients for a discretionary ethical product that could be accessed through wraps and platforms. Many IFAs have chosen to play to their strengths of advising customers on the financial needs and providing solutions to these needs, leaving the management of the underlying investments to discretionary fund managers with the capacity and experience to do so.

At King & Shaxson we have partnered with Succession to design five ethical model portfolios tailored to address the ethical concerns raised by clients, each with their own asset allocation and risk profile. As simple as investing into a single fund with the benefit of active management across all asset classes. Our service makes it much easier to look after ethically minded clients. We conduct research into funds on a stock-by-stock basis. We also manage individual equities and bonds and therefore have both the experience and knowledge in a specialist area. We use the services of an ethical researcher to ensure the ethical integrity of our investments. We monitor our model portfolios on a daily basis – being focusing on this one specialist area we can give it the attention that it needs. We also use a broad range of asset classes enabling us to run portfolios across the risk spectrum.

K&S Succession Ethical Platform Factsheet

K&S Succession Portfolio Brochure

MPS Positive Outcome Report 2023

King & Shaxson MPS Overview

Product Governance

K&S Succession Product Governance

MPS Ethical Review Archive

Review of Funds MPS 2020

MPS Ethical Review 2021

Ethical Screening

At King & Shaxson we understand each client has a different opinion on what ethical investing is, emphasising the necessity to develop an individualistic approach. Our screening process aims to identify what companies or funds have exposure to, ensuring we direct your client’s funds to areas of interest, as well as avoiding exposure to sectors or companies that are negatively contributing to society or the world we live in.

The process combines a quantitative and qualitative approach, bringing together third party ESG research with our own internal research. This rigorous approach leaves no stone unturned.

Screening: Platform Model Portfolios

With our model portfolios, our ethical approach aims to meet the majority of ethical investors’ concerns, with the investment decision involving a positive as well as a negative screen. Our Under the bonnet approach means we go beyond the fund label and scrutinise the fund holdings. Areas with significant involvement in armaments, tobacco, human rights violations, nuclear, oil & gas and poor environmental management are avoided in what is called a negative screen. Meanwhile, companies that are perceived to have a direct positive impact on social and environmental issues are included in the positive screen.

Using a mixture of the two types of screening allows our fund managers to consider all types of firms during the investment decision.

Is your client already invested in a platform product or other discretionary service? Make the most of King & Shaxson’s ethical screening service to understand how ethical their portfolio is.

Ethical Screening Policy

Ethical Investing

Whilst text books teach us that ethical means a negative screen is applied, here at King & Shaxson, we are in fact adding much more to the investment process. Whilst screening out the ‘evils’, such as oil, gas, coal, poor governance and tobacco, we implement a positive inclusion, which by its very nature finances solutions to social and environmental issues. All of which comes on top of the standard investment criteria.

Our sole interest is ethical investing, meaning we can take the above concept and invest in issues that are close to our client’s hearts, whilst also seeking positive returns over the long term.

Know Your Ethical Client

Ethical investing means managing portfolios to two instead of one criteria. The investment criteria is straightforward, and is no different to conventional investing. The Ethical criteria takes on a more ‘human’ approach, as past experience has taught us that ethical investors are more concerned where their funds are invested. This means it is vital to ensure that the investments match the client’s ethics, and the only way to ensure this is done, is by getting to know your client’s ethics, in what we call KYEC, or Know Your Ethical Client.

Ethical Investing - More than a Negative screen

Under the Bonnet – Ethical Screen

Are your clients funds already invested but have no idea how ethical their portfolio is? Don’t worry, King & Shaxson will provide a free of charge ‘under the bonnet’ screening service, where we can review any client’s current portfolio and produce an Ethical Screening Report.

Many clients will be invested in collectives without knowing the underlying holdings, so this is where we can assist. This valuable tool can be used with your client during periodic reviews and is a valuable source of education, bringing to life an otherwise routine process. The Ethical Screening report can be used in conjunction with our Values Based Questionnaire and Investment Proposal, to allow the client and adviser to truly understand how their ethics can truly be reflected into a portfolio.

This screening process is a natural part of what we do at King & Shaxson and all investments, from collectives to single equities will be thoroughly scrutinised.

Please email your clients portfolio with a headline of “Please Screen” to ethical@kasl.co.uk

Core Team

Wayne Bishop

Director of Ethical Investing

After graduating from University of Central England in 1991 Wayne began his career at GNI London, broking fixed income options. In 1993 he was seconded to Frankfurt, as part of a small but successful team servicing European banks and fund managers across a range of derivative products. Wayne returned to London in 1997.

In April 2002 he joined Phillip Securities UK and took over Ethical Investment Management in September of that year. He introduced active asset allocation and a positive return mentality to then predominantly UK equity based portfolios. He became the Head of Investment Management in January 2003 and Director in September 2003.

Following a group restructuring in 2005 he moved to King & Shaxson Asset Management to enhance the Ethical business. Now Director of Ethical Investment Wayne is responsible for around £50m of ethical AUM.

Contact Wayne Bishop: Telephone No : +44 (0)20 7426 5968 Mail : wayne.bishop@kasl.co.uk

Craig Hart

Client Relationship Manager

Craig Hart (44) has 17 years experience of financial markets, covering various roles including Payments, Trade Finance and Money Markets & Foreign Exchange execution. Craig joined the Corporate Bond Dealing desk at King & Shaxson in May 2010, to assist clients with Fixed Income trade ideas and execution. Craig is now the assistant to Wayne in his Fund Management duties with his main focus being Platform products

Contact Craig Hart: Telephone No : +44 (0)20 7426 5979 Mail : craig.hart@kasl.co.uk

Harry Thompson

Portfolio Manager

Harry graduated from the University of Brighton in 2014 with a degree in Business and Finance. Harry recently joined the Ethical Fund Management team (October 2017) and is training to be a Fund Manager. Harry has been with King & Shaxson for four years and has experience in the Foreign Exchange and Derivative sectors.

Contact Harry Thompson: Telephone No : +44 (0)20 7655 4707 Mail : harry.thompson@kasl.co.uk

Will Arnold

Trainee Portfolio Manager

Will graduated from the University of Birmingham in 2020 with a degree in History. Duriverififng his studies, he took particular interest in the roots of many social issues that our world faces today. He then spent some time working in a school before joining King & Shaxson Ethical as a trainee portfolio manager (June 2021). Through ethical investment he aims to act upon his desire to make a positive impact in society.

Contact Will Arnold: Telephone No : +44 (0)20 7426 5984 Mail : will.arnold@kasl.co.uk