London (PRWEB UK) 1 March 2012
Today, InvestorBee (http://www.investorbee.com), an independent website that helps consumers make better investment decisions, launches a free new information service with objective, fact-based benchmarks and fund ratings for more confident investing. InvestorBee’s approach is a global first and harnesses data through a technologically advanced, patented process to give consumers clarity about who to trust with their long-term savings.
With inflation trends and interest rates diminishing the real value of even the most competitive cash ISAs, more and more consumers are likely to opt for a stocks and shares ISA this year. It is vital that these consumers are equipped to select those fund management companies that have a clear track record in delivering value for money.
Identifying these fund management companies is almost impossible because their funds’ self-proclaimed objectives often mean very little to ordinary consumers who are concerned primarily with earning a fair return for the risk they take. Now, InvestorBee users do not need to rely on these quirky benchmarks and can instead clearly compare funds on an apples for apples basis to see if the results they deliver are fair given the risk they take and the fees they charge. InvestorBee is sharing real facts about real investors and transforming the way people invest.
There is a huge gap in consumers’ understanding of investing. According to research conducted by Ipsos Mori for InvestorBee in July 2011, from the 34 per cent of people surveyed who say they manage their own investment strategy, nearly two-thirds admit they don’t even understand the basics of investing. In other words, they’re guessing.
As used to be the case when purchasing plane tickets for a trip, consumers or their advisers are forced to navigate a near infinite number of possible product combinations when constructing portfolios. InvestorBee is turning the lights on for consumers.
Whereas the typical fund-search tool provides a limited view of products fitting specific criteria selected by the customer, InvestorBee analyses how real people have navigated the infinite range of options to build their portfolios at different levels of risk, and shows you the value for money offered by multi-asset funds in comparison. InvestorBee’s benchmarks also take into account the impact of fees. By showing how these products stack up against the outcomes experienced by more than a million real consumer portfolios, people can better evaluate the products on sale today and make smarter, more informed choices, whether they act alone or through an adviser.
According to recent research by the FSA, consumers do not generally know how to categorise financial products in terms of risk, including stocks and shares ISAs, this serious problem is compounded by the challenge for industry bodies such as the Investment Management Association to categorise products appropriately. InvestorBee simplifies investment shopping for the consumer by creating fact-driven definitions of risk. This is only possible as a direct result of having gathered data on more than a million real consumer portfolios.
InvestorBee shows what returns real people are achieving and the risks they are actually taking through all of the different funds in which they invest. This provides the basis for fact-based ratings for nearly 400 multi-asset funds. Consumers can compare funds like-for-like within five risk levels or search for specific funds to see how they perform.
“It’s time for consumers to be better-equipped for important decisions about who they trust with their money so they can plan for major life events and maximise their long-term financial security, especially as the ISA deadline looms,” said Graham Mannion, Managing Director, InvestorBee. “We’re making asset managers more accountable, so that consumers can make important financial decisions based on facts to achieve more value for money.”
InvestorBee harnesses enterprise data from leading financial institutions, monitoring the risk and return in more than one million real portfolios month-by-month, building on 5 years of history. Former students of London Business School and the Massachusetts Institute of Technology developed the website.
InvestorBee is a UK website that helps consumers make informed, fact-based decisions about their savings and investments. InvestorBee analyses the data from more than one million UK investors, over 30,000 financial products and over 1,000 sources of professional investment advice to track what different types of investors are actually doing and the results that they’re achieving. From this data, InvestorBee shows investors how people like them invest, offers free and objective real portfolio benchmarks and provides fact-based ratings for nearly 400 multi-asset funds in the UK market. For more information on InvestorBee, visit http://www.investorbee.com.
InvestorBee is powered by DCisions, the leading provider of insight into consumer investing who also drive the FTSE DCisions Index Series. DCisions is the recipient of the 2011 Innovation and 2009 Technology Provider Awards from European Pensions. For more information on DCisions, visit http://www.dcisions.com.