Where modelling has been used to assess the ability of assets to meet financial needs over time, the risk and return assumptions need to be shown and the method in which they were generated need to be explained.

It is common practise amongst most retail asset management operations to provide projected portfolio returns.

Where these are used to generate the asset allocation, they need to be included within the reporting structure.

However, it is important that where these are provided that the way they were generated is also explained.

Current investment strategy, economic and/or market valuation analysis of all markets, components and sectors to which portfolios are directly exposed should also be provided.