New SMAs launch

A new range of separately managed accounts (SMAs) have launched, attempting to address a demand the new FASEA code of ethics could create.

A group of financial advisers have come together to launch the SMAs through Ethical Advisers Funds Management.

The SMAs will screen out investments in oil, tobacco, weapons, heavy polluters, gambling and coal while targeting healthcare, recycling, education, sustainable technologies, clean energy and aged care.

The team behind the launch include Terry Pinnell as portfolio manager and head of stewardship, Louise Edkins as head of investment team and engagement and Luke Price as portfolio manager and head of research.

BetaShares' chief economist David Bassanese is an independent analyst for Ethical Advisers Funds Management.

Price said there is already around $21 million invested in the groups SMAs across Hub24, Praemium and Emerald Wrap.

He believes there will be high demand for these kinds of investment products going forward as the FASEA standards require financial advisers to ask clients whether there are any environmental, social or ethical considerations that are important to them.

"It is basically the law from 1/1/20 that all financial planners need to incorporate this type of advice into their recommendations," Price said.

"We believe these types of ethical investments will be in high demand going forward, particularly due to the new FASEA code of ethics for financial advisers."

The SMAs include growth, fixed income, mid-cap and large-cap options.

Read more: FASEAEthical Advisers Funds ManagementLuke PriceBetaSharesDavid BassaneseEmerald WrapLouise EdkinsPraemiumTerry Pinnell
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