Managed Account Program

BBY now offers a Managed Accounts service for active equities and derivatives investors with a fee structure that reflects performance on the account – this aligns our interests with yours and reduces your transaction costs.

What is a Managed Account?

A Managed Account is an investment that is managed on the client’s behalf through a specifically designated manager. At their own discretion, the designated manager can make and execute trading decisions on behalf of the client without specific approval each time.

Why invest via a Managed Account?

BBY’s Managed Accounts service takes weight off the shoulders of time-poor clients. Instead of being burdened with the day-to-day management of your investment portfolio, BBY can exercise professional management at your discretion.

Years of dedication are required for an investor to develop the skills necessary for proper trading management in constantly changing markets. A Managed Account allows clients to invest in financial markets without having to commit the personal time and attention required to trade these markets themselves.

Economic factors and business conditions are constantly changing with variables such as interest rates, inflation, commodity prices and Government actions. BBY’s active approach to your account will ensure that your account manager can quickly take advantage of opportunities as they arise.

Having a professional trading advisor manage your account also adds some much needed objectivity and discipline to your investment strategy. These attributes often get lost when a client is trading their own account directly.

Asset Classes

The products in which your managed account can invest will tend to be non-correlated to traditional asset classes. Therefore, your account will have the ability to generate profits when traditional assets such as bonds and property are producing negative returns. Your managed account will predominantly be invested in (though is not limited to) the following investment products;

  • Equities
  • Foreign Exchange (FX)
  • Futures
  • Metals
  • Commodities
  • Share Market Indices

Trading Strategy

BBY’s Managed Accounts service offers investment programs that are tailored to the individual needs of clients and always in the client’s best interests. In consultation with us, you select your preferred trading strategy and specify any limitations that you wish to impose on your account. We then:

  • Manage the account for you according to your criteria;
  • Make and execute the trading decisions; and
  • Report to you regularly on the state and performance of the account.

Your trading strategy will reflect a mixed analysis of economic fundamentals and technical indicators. These will depend on your nominated manager, as well as your chosen trading profile.

Returns

The managed account will strive to deliver positive returns under all market conditions, including falling markets. The goal is to ensure the risk is managed properly and that the potential rewards properly reflect the risks involved. The result is an individually held, managed risk/reward orientated account that complements a client’s more conservative investments, and provides significant diversification and hedging opportunities.

While BBY’s Managed Accounts service can produce returns suited to your investment goals, proceeding with any type of investment decision does involve risks. Be sure to discuss with our Managed Accounts Operator about any concerns you may have, or obtain other professional advice before using this service.

Risk Management

Financial markets offer vast opportunities for investors to grow their wealth, though they are also complex and fraught with risk.

Markets can be volatile and speculative and because of the leverage involved; an investor’s exposure can exceed their initial deposit. Appropriate leveraging is significantly important to the management of risk, as is the proper use of stop losses and position sizing. The more leverage taken on by an investor, the more of a gamble the trade becomes and the less relevance fundamental analysis has on the result.

There is a fine line between utilising sufficient leverage to benefit from trading opportunities, and over-leveraging which means the market dictates your trading temperament and decisions. In order to achieve the appropriate balance between the benefits of leverage and the management of risk, BBY has established specific guidelines around risk management and position sizing, including set margin limits and stop losses. Counterparty risk is reduced by ensuring that all counterparties are licensed and regulated by ASIC. By applying these principles we can at least ensure that the risks are managed in a manner that is commensurate with the potential rewards. While BBY can mitigate risks to some extent by careful management, risk cannot of course be negated entirely.

Reporting and Communications

  • Clients receive monthly notifications by email regarding trading performance, account balance and fees;
  • Clients receive Quarterly Reports and Annual Statements at the end of each financial period; and
  • Clients can view their account online to monitor their investments on a 24/7 basis.

Open an account View trading profiles

 

Why invest through BBY (NZ) Limited?

BBY (NZ) Limited as part of the BBY Group is a futures dealing firm dedicated to providing the full range of services specifically designed to meet the needs of private clients. Managed Discretionary Account services are provided for BBY Group by BBY (NZ) Limited in accordance with the terms of its license as an Authorised Futures Dealer under the Securities Markets Act.

BBY Group is an Australian and New Zealand independent stockbroking and financial services group, with offices and staff located extensively throughout Australia and New Zealand, and in London and New York.

Today, BBY Group is one of the fastest growing securities firms in Australia and New Zealand with an average of A$2.4 billion million turnover per month on the Australian Stock Exchange and over $2.4 billion worth of capital raisings completed in the last 5 years.

Meet the Team

Wellington Office

Level 8, 111 The Terrace, +644-471-7600

Brent Weenink
Chief Executive NZ
bgw@bby.co.nz
04-910-1610

Roger Barley
rgb@bby.co.nz
04-471-7608

Graham Parlane
gjp@bby.co.nz
04-471-7605

Robert Lean
rrl@bby.co.nz
04-471-7603

Auckland Office

Level 8, 36 Kitchener Street, +649-308-0780

Ricardo Garrido
rrg@bby.co.nz,
09-966-9794

Alistair Norris
ajn@bby.co.nz
09-308-0784

Rob Hughes
rfh@bby.co.nz
09-921-6955

Questions or comments?
E-mail us at enquiries@bby.co.nz
or call +644-471-7600

Disclaimer

[1] There is a small transaction charge paid to the third party platform provider. We do not share in this, and because it affects profitability of the account we are incentivised to keep these charges to a minimum.

This presentation has been prepared on behalf of and issued by BBY (NZ) Limited (BBY). No material contained in this document may be reproduced or distributed with the express written approval of BBY.

BBY believes that any information or advice (including any recommendation) contained in this publication is accurate when issued but does not warrant its accuracy or reliability, and is not liable for the future performance of transactions or for any loss or damage arising in connection with this publication. Persons who rely on it do so entirely at their own risk.  Any opinions, forecasts or recommendations reflect the judgment and assumptions of BBY at the date of publication and may later change without notice. This information contains general information only, without regard to any investor's individual objectives, financial situation or needs. It is not specific advice for any particular investor. Before making any decision about the information provided, you must consider the appropriateness of the information in this document, having regard to your objectives, financial situation and needs and consult your adviser. Investment in financial products involves risk, and investment in leveraged products could mean you are liable for an amount greater than your initial deposit. Past performance of financial products is no assurance of future performance. A full Disclosure Statement is available free of charge on request.

 

BBY (NZ) Limited. All rights reserved (NZBN 9429034016398). Part of the BBY Group (BBY Limited. Participant of the Australian Stock Exchange Group. ABN 80 006 707 777 AFSL 238 095).