Whitepapers

Practice management

Adviser’s Alpha: Putting a value on your value

Vanguard's Adviser's Alpha identifies the seven critical benefits that advisers offer clients and attributes to each a quantitative value.

Download whitepaper

 

Adviser's Alpha guide to proactive behavioural coaching

The Vanguard's Adviser's Alpha Guide to Proactive Behavioural Coaching offers ready-to-implement tools and strategies that can help advisers guide clients past uncertainty to reach their goals.

Download whitepaper

 

Assessing the value of advice

In our recent study "Assessing the value of advice", we observed the effects of professional advice on a large number of clients with comparable experience.

Download whitepaper

 

The value of advice: Improving portfolio diversification

Improved portfolio allocations can be achieved with help from a professional adviser, Vanguard researchers have found. A lack of financial literacy, combined with cognitive or behavioural biases can all too often lead to inappropriate allocations. After adopting professional advice, previously self-directed investors significantly reduced equity risk, home bias and an over-exposure to cash within their portfolios.

Download whitepaper

 

The value of advice: Assessing the role of emotions

In a new paper, Vanguard researchers quantify the role of emotions in the advisory relationship, finding that emotional value is a significant component of the perceived value of financial advice.

Download whitepaper

 

Portfolio construction

2020 UK portfolio trends

Portfolio asset allocation and trends within UK advisers’ portfolios in 2020

Download whitepaper

 

The case for low-cost index-fund investing

We examine how indexing performs in a variety of circumstances, including diverse time periods and market cycles, and we provide investors with points to consider when evaluating different investment strategies.

Download whitepaper

 

Beyond expense ratios: A contemporary guide to index fund manager selection [2019]

This paper provides a contemporary framework for evaluating index funds and asset managers by assessing fund expenses as only one component of a broader set of qualitative and quantitative factors including organisational incentives, portfolio management capabilities, securities lending practices, pricing policies and scale.

Download whitepaper

 

Junk or jewel? Assessing the role of high-yield bonds in a diversified portfolio

High-yield bonds behave like a “hybrid” instrument, reflecting characteristics of both the equity and fixed income markets. With this in mind, we look at the portfolio impact of two types of high-yield positions: one funded by an investor’s existing fixed income allocation, and one sourced from an equity allocation.

Download whitepaper

 

An overview of physical and synthetic ETF structures

In this research note, we provide an overview of the global ETF landscape by replication method and assess the risk profiles of synthetic ETFs tracking flagship indices.

Download whitepaper

 

Retirement

The UK replacement ratio: Making it personal

With our approach to calculating the replacement ratio, investors begin with their current annual consumption and then factor in the taxes and other charges necessary to access their savings. The replacement ratio is then the total amount required in retirement, expressed as a percentage of the investor’s pre-retirement income

Download whitepaper

 

Withdrawal order: making the most of retirement assets

Retirees in the UK face more challenges today than ever before when it comes to retirement planning. The decline of defined benefit pensions in favour of less expensive (for the employer) defined contribution plans, pension freedoms, increased longevity and other factors have made retirement planning considerably more complex.

Download whitepaper

 

Safeguarding retirement in a bear market

What is the effect of ‘sequence-of-return’ risk—the risk of receiving a concentrated series of particularly poor returns—on retirees who depend on a financial portfolio to generate income? We provide a quantitative answer to this question by examining the cohorts that would have retired during or near six major US bear markets since 1926.

Download whitepaper

 

Sustainable spending rates in turbulent markets

This paper addresses the impact of market shocks on sustainable withdrawals from a portfolio to fund retirement and also the portfolio’s longevity.

Download whitepaper