1. Healthcare

Press Release
2 February 2015
2015 Diamond Ratings and Star Ratings are now live
Defaqto provides an independent, robust and trusted assessment
of financial products and funds
Defaqto has launched the 2015 Diamond Ratings and Star Ratings, which provide an
independent, robust and trusted assessment of the quality of financial products and funds –
including a wide range of advised product areas as well as funds and fund families.
In an increasingly complex financial market, Defaqto Ratings help advisers easily get an
overview of where propositions sit and provide financial advisers, and their clients, with
post-recommendation assurance.
2015 Diamond Ratings
Defaqto Diamond Ratings give funds and fund families an independent rating of 1 to 5,
helping advisers see where they sit in the market in terms of performance and
competitiveness in key areas such as cost, scale, access and manager longevity. Diamond
Ratings provide a unique approach to assessing the fund universe.
In certain fund areas it can be an advantage to start research at fund family rather than
individual fund level. Typically, this contributes to consistency in the adviser approach and
often allows advisers to move clients from one fund to another, should portfolio
readjustments require it, in a quicker and more cost-efficient way.
That is why Diamond Ratings provide an independent assessment of fund families as well as
individual funds across the rated categories:
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Risk targeted fund families
Risk focused fund families
Unitised DFM fund families
Multi-manager return focused funds
Multi-asset return focused funds
Index trackers (open ended funds)
Index trackers (exchange traded funds)
2015 Star Ratings
Star Ratings assess the quality and comprehensiveness of the features and benefits financial
products offer. As with Diamond Ratings, Star Ratings give each proposition a rating of 1 to
5.
The financial product and service areas covered by Defaqto Star Ratings include:
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SIPPs
Investments (including DFMs – managed portfolios, bespoke solutions and MPS on
Platform – onshore and offshore bonds and platforms)
Life and protection (including critical illness, income protection, mortgage PPI,
protection menu plans and private medical insurance)
Auto-enrolment schemes – including separately rating the trust based schemes and
the contract based schemes
New for 2015 – Defaqto has introduced Star Ratings for Platform SIPPs, which assess those
SIPPs specifically that are platform based and, importantly, it acknowledges the polarisation
of the SIPP market between these and the more bespoke, independent SIPPs.
To find out more about Defaqto Star Ratings and Diamond Ratings – including the detailed,
robust methodology underpinning them – and to access the Ratings, advisers can visit:
Star Ratings defaqto.com/advisers/star-ratings
Diamond Ratings defaqto.com/advisers/diamond-ratings
Both Star Ratings and Diamond Ratings can also be viewed in adviser software Engage
defaqto.com/advisers/solutions/engage
David Cartwright, Head of Insight and Consulting (Wealth and Protection), says:
“The range and complexity of products and fund propositions has grown significantly in
recent years. Our Star Ratings and Diamond Ratings support the research process across a
very wide range of areas by helping advisers and adviser firms instantly see where a
proposition sits in the market – without having to spend the time doing this initial research
themselves.
“Defaqto Ratings are also a powerful mechanism for giving advisers and brokers, and their
clients, post-recommendation assurance by signposting the quality of a proposition they
have selected for their client.
“Importantly, our Ratings are completely independent and we rate the individual
propositions, not the provider or fund house – we also cover all offerings in the areas
covered by our Ratings.”
Frank Potaczek, Head of Insight and Consulting (Investments), adds:
“Through assessing a wide range of quantitative features, as well as our focus on the fund
family in certain areas, our Diamond Ratings provide a unique approach to assessing the
fund universe.
“Propositions reaching the threshold of 3 Diamonds or above represent a good offering to
the market and, similar to Star Ratings, our Diamond Ratings therefore help advisers both
with their initial research and provide them (and their clients) with comfort postrecommendation.”
-EndsContact information
1. For further information or to speak to David Cartwright or Frank Potaczek please contact
Defaqto’s press office:
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Cindy Heidebluth: 01844 295 408
Adam Richards-Gray: 01844 295 556/07788 722 690
Email: [email protected]
Follow Defaqto to keep up to date with the latest press releases, media appearances
and expert commentary: @DefaqtoPress on Twitter and Defaqto on LinkedIn
2. For further information about David Cartwright and Frank Potaczek please visit
Defaqto’s website: defaqto.com/media-centre/david-cartwright, defaqto.com/mediacentre/frank-potaczek
About Defaqto
Defaqto is an independent researcher of financial products, focused on providing
intelligence to support better decision-making.
At our heart is the UK’s largest retail financial product and fund database – we maintain it by
collecting data from across the whole market, and using our expertise and insight to analyse
this data and make it comparable.
From this, we create a range of products and services – ratings, software solutions,
consultancy services, data services, and publications and events – to deliver this information
in a meaningful way.
Our intelligence facilitates better financial decisions and greater effectiveness in the
creation, management and distribution of financial products.
Access further information about Defaqto at defaqto.com