What is a DFM?

Discretionary Investment Management is a form of professional investment management that invests on behalf of their clients through a variety of securities. The term “discretionary” refers to the fact that investment decisions are made at the investment manager’s judgement. The major aim of the services offered is to outperform benchmarks listed in the mandate; this is called providing alpha.

The services provided are usually tailored for institutional business, pension funds and high-net worth individuals. The investment management company has a continuing responsibility to ensure that an investment portfolio is suitable for the client’s attitude to risk and investment objectives.^{[1]source WIKIEDPIA}

Most IFAS are not qualified to be fund advisors. Hence a DFM is safer. Let the professionals do their job. They do have higher costs as you do pay for their expertise. Most clients would be happy to pay for advice if he advice was sound and paid for itself.

Other less expensive options are ETFS.