Markdown Editor

Client Portfolio Review Template (MiFID II Periodic Report)

Periodic client report and review: holdings, transactions, TWR vs benchmark, IPS ranges, ex-post costs, cost effect, 10% loss alerts, goals, suitability

财务、投资与会计完整Delegated Reg (EU) 2017/565 Art. 50, 54, 60, 62, 63; SEC Rule 206(4)-2clientportfolioreviewmath

使用方法: Use it each quarter for a managed or advised account, adding the review layer at least annually. Fill valuation, cash flows and performance first, then costs, goal progress and the suitability check. The main pitfall is a report that is not fair and balanced, hiding underperformance or product costs.

预览

Client Portfolio Review: [Client name], [Period]

Periodic report and review for a client whose portfolio is managed on a discretionary basis or monitored under an ongoing advice service: valuation and holdings, transactions and income, performance against the agreed benchmark, allocation against the investment policy statement, costs and charges with their cumulative effect on return, loss alerts, goal progress, the periodic suitability review and agreed actions. Based on MiFID II (Directive 2014/65/EU) Article 25(6) and Commission Delegated Regulation (EU) 2017/565 Articles 50 (costs and charges), 54(12) and 54(13) (periodic suitability), 60 (periodic statements for portfolio management), 62 (loss alerts) and 63 (statements of client assets), with notes for US investment advisers under SEC Rule 206(4)-2. Replace every [bracketed] value and every row marked Example. Past performance does not predict future results. This is a document format, not financial, investment, tax or legal advice. Obtain the regulation or rule for the normative text.

Document control

FieldValue
Document ID[CPR-YYYY-QN-NNN]
Version[1.0]
Status[Draft / Checked / Delivered / Corrected]
Owner[@portfolio-manager]
Approvers/reviewers[@performance-analyst], [@supervisor]
Last updatedYYYY-MM-DD
ClassificationConfidential: client personal data
Firm[Firm name, licence or registration number]
Client and account[Client names], [account designation]
Reporting periodYYYY-MM-DD to YYYY-MM-DD
Base currency[EUR / USD / other]
Valuation basis[Market prices at close of the last business day; fair value where no market price]
Performance method[Time-weighted, Modified Dietz per quarter, chain-linked]
Report type[Quarterly statement / Quarterly statement with annual review]
Delivery[Durable medium, channel, date sent]

Approvals

RoleNameDecisionDate
Portfolio manager or adviser[Name][Prepared]YYYY-MM-DD
Performance or operations check[Name][Reconciled to custodian]YYYY-MM-DD
Supervisor (annual review)[Name][Approved]YYYY-MM-DD

Revision history

VersionDateAuthorChange
1.0YYYY-MM-DD[@portfolio-manager]Issued to client
[1.1]YYYY-MM-DD[@portfolio-manager][Correction: describe and reason]

Contents

1. Summary for the client

ItemThis periodYear to dateSince inception
Opening value[amount][amount][amount]
Contributions less withdrawals[amount][amount][amount]
Investment result (after costs)[amount][amount][amount]
Closing value[amount][amount][amount]
Return after costs[%][%][% annualised if over one year]
Benchmark return[%][%][%]
Difference[pp][pp][pp]

Example (joint account of Mara and Theo Lind at Kestrel Bay Capital Europe, fictional, EUR, quarter 2027-07-01 to 2027-09-30, inception 2026-10-01): opening value 226,900; contributions 4,500; investment result after costs 3,100; closing value 234,500. Return after costs 1.35% for the quarter, 2.03% year to date and 8.15% over the first twelve months. The benchmark returned 1.52%, 2.71% and 8.67% over the same periods. The portfolio returns are after all costs, while the benchmark has no costs, so roughly 0.28 percentage points a quarter of the difference comes from costs alone. Both goals remain on track (section 10). No change to the policy is proposed.

Write the summary last, after every section below has been reconciled. Lead with the facts the client most needs: what the account is worth, what it earned after all costs, how that compares with the agreed benchmark, and whether the goals are still on track. Use the same words and units as in the investment policy statement, show amounts and percentages side by side, and state any shortfall as plainly as any gain. If an action is needed from the client, say so in the summary, not only in section 12.

2. Valuation and holdings

SleeveInstrumentAsset classQuantityPriceMarket valueWeight in sleeve
Retirement[Instrument name and identifier][Class][Units][Price][Value][%]
Retirement (Example)Global equity index fund, sustainable variantGlobal equity[Units][Price]95,90051.1%
Retirement (Example)Global aggregate bond fund, hedgedInvestment-grade bonds[Units][Price]65,60035.0%
Retirement (Example)Inflation-linked government bond fundInflation-linked bonds[Units][Price]9,4005.0%
Retirement (Example)Global listed real estate fundListed real estate[Units][Price]9,2004.9%
Retirement (Example)CashCash7,5004.0%
Retirement sleeve total187,600100.0%
Education (Example)Global equity index fund, sustainable variantGlobal equity[Units][Price]11,80025.2%
Education (Example)Short-duration bond fundShort-duration bonds[Units][Price]27,40058.4%
Education (Example)CashCash7,70016.4%
Education sleeve total46,900100.0%
Account total234,500
Cash balanceStart of periodEnd of period
Retirement sleeve[amount]Example: 7,500
Education sleeve[amount]Example: 7,700

Reconcile before you report. The holdings, cash and transactions in this report must agree with the custodian's records at the same date; investigate any difference, however small, before the report is sent, and record the outcome. Show each sleeve separately as well as the account total, because the investment policy sets targets per sleeve and a combined view can hide a sleeve that is out of range.

Prices: [source], close of YYYY-MM-DD. Where no market price was available, the fair value method was [method]. Values reconcile with the custodian statement [reference] dated YYYY-MM-DD; differences: [none / explain].

3. Transactions, cash flows and income

3.1 Transactions executed

Trade dateInstrumentBuy or sellQuantityPriceAmountVenueReason
YYYY-MM-DD[Instrument][Buy / Sell][Units][Price][Amount][Venue][Contribution / Rebalancing / Withdrawal]
2027-07-16 (Example)Global equity index fundBuy[Units][Price]1,200[Venue]Monthly contribution, retirement sleeve
2027-07-16 (Example)Short-duration bond fundBuy[Units][Price]300[Venue]Monthly contribution, education sleeve

3.2 Cash flows and income

DateTypeAmountNotes
2027-07-15 (Example)Contribution1,500Standing order
2027-08-15 (Example)Contribution1,500Standing order
2027-09-15 (Example)Contribution1,500Standing order
Period (Example)Dividends received430Reinvested in cash, then funds
Period (Example)Interest received560Fund distributions and cash interest
Period (Example)Fees debited[amount]Management and custody fees for the quarter

Total dividends, interest and other payments received in the period: Example EUR 990 (Article 60(2)(f)).

4. Performance

4.1 Method

For each period the return uses the Modified Dietz approximation, which weights each external cash flow by the share of the period it was invested:

RMD=EV−BV−∑iCFiBV+∑iwi CFi,wi=D−diDR_{MD} = \frac{EV - BV - \sum_i CF_i}{BV + \sum_i w_i\,CF_i}, \qquad w_i = \frac{D - d_i}{D}

where BVBV and EVEV are opening and closing values, CFiCF_i the external cash flows, DD the number of days in the period and did_i the number of days from the start of the period to cash flow ii. Periods are chain-linked:

Rlinked=∏t(1+Rt)−1R_{\text{linked}} = \prod_{t}\left(1 + R_t\right) - 1

Returns over more than one year are annualised; returns for less than a year are not. A money-weighted return (internal rate of return of the client's cash flows) answers a different question: how the client's own money grew, including the timing of contributions.

4.2 Results

Example calculation for the quarter (92 days): contributions of 1,500 on days 14, 45 and 76 have weights 0.8478, 0.5109 and 0.1739, so the weighted cash flow is 2,298.91. The return is (234,500 minus 226,900 minus 4,500) divided by (226,900 plus 2,298.91), which is 3,100 divided by 229,198.91, or 1.35%.

PeriodPortfolio return after costsBenchmarkDifference
Q4 2026 (Example)6.00%5.80%+0.20 pp
Q1 2027 (Example)2.10%2.30%-0.20 pp
Q2 2027 (Example)-1.40%-1.10%-0.30 pp
Q3 2027 (Example)1.35%1.52%-0.17 pp
Year to date 2027 (Example)2.03%2.71%-0.68 pp
First 12 months (Example)8.15%8.67%-0.52 pp

Example check: year to date is 1.021 x 0.986 x 1.01353 minus 1, or 2.03%; the twelve-month figure adds Q4 2026: 1.06 x 1.021 x 0.986 x 1.01353 minus 1, or 8.15%. The account opened on 2026-10-01, so the first twelve months are not annualised.

4.3 Main drivers

DriverEffectComment
Asset allocation versus benchmark[+/- pp]Example: slight overweight in equity helped in Q3
Fund selection[+/- pp]Example: sustainable equity variant lagged the broad index
Costs[- pp]Example: about 0.28 pp a quarter
Currency[+/- pp][Comment]

Explain the result in plain words. Say which decisions helped and which hurt, separate the effect of costs from the effect of investment choices, and avoid explaining underperformance only by "market conditions". When the period is short, remind the client that one quarter says little about whether the strategy is working, and point to the longer periods in the table. Never show a return for a period shorter than a year as an annual rate.

For a full attribution analysis use the Performance Attribution Report (finance/performance-attribution-report).

5. Allocation against the investment policy

SleeveAsset classTargetRangeActualWithin range
Retirement (Example)Global equity50%45 to 55%51.1%Yes
Retirement (Example)Investment-grade bonds35%30 to 40%35.0%Yes
Retirement (Example)Inflation-linked bonds5%0 to 10%5.0%Yes
Retirement (Example)Listed real estate5%0 to 8%4.9%Yes
Retirement (Example)Cash5%2 to 10%4.0%Yes
Education (Example)Global equity25%20 to 30%25.2%Yes
Education (Example)Short-duration bonds60%55 to 65%58.4%Yes
Education (Example)Cash15%10 to 20%16.4%Yes

Rebalancing this period: [None needed / Describe trades and reason]. Example: none needed; contributions were directed to the most underweight classes under IPS section 8.

6. Costs and charges

6.1 Costs in this period

ItemAmountNotes
Management or advisory fee[amount][Rate and basis]
Execution and transaction costs (service)[amount]
Custody and platform[amount]
Total for the period[amount]A more detailed breakdown is available on request

6.2 Annual ex-post costs and charges

Example period: 2026-10-01 to 2027-09-30 (first twelve months), average invested amount EUR 218,000.

CategoryItemAmount (EUR)% of average invested
Service costsManagement fee1,7440.80%
Service costsCustody and platform1090.05%
Service costsTransaction costs870.04%
Service costs subtotal1,9400.89%
Product costsFund ongoing charges3920.18%
Product costsFund transaction costs1090.05%
Product costs subtotal5010.23%
Third-party payments received by the firm00.00%
Total costs and charges2,4411.12%

Comparison with the ex-ante estimate in the IPS: Example 1.10% estimated, 1.12% incurred; the difference comes from fund ongoing charges of 0.18% against 0.16% assumed.

6.3 Cumulative effect of costs on return

LineAmount (EUR)% of average invested
Return before all costs (Example)18,9418.69%
Total costs and charges (Example)2,4411.12%
Return after costs (Example)16,5007.57%

Example check: inception value 200,000 plus contributions of 12 x 1,500 = 18,000 gives 218,000 paid in; the closing value of 234,500 leaves an investment result after costs of 16,500, and adding back the costs of 2,441 gives 18,941 before costs. These are money amounts on the average invested amount; the time-weighted return in section 4 (8.15%) differs because it removes the timing of contributions.

Description: costs reduced the return over the year by about 1.12 percentage points of the average invested amount. Costs are taken every year, so their effect grows over time: on the same assumptions, costs compound to a larger share of the final value over a long horizon. No unusual cost spikes are expected next year (Example).

7. Risk and loss alerts

ItemValue
Value at start of reporting periodExample: 226,900
10% loss alert thresholdExample: 204,210
20% loss alert thresholdExample: 181,520
Alerts sent this periodExample: none
Lowest value during the period[amount and date]
Stress loss of current allocation (firm scenario)[amount] against capacity for loss [amount]
Volatility over the last 12 months[%]

Set the loss alert up as an automated daily check against the value at the start of the reporting period, with a named person who confirms that each notice was sent by the end of the business day on which the threshold was crossed, or by the end of the next business day if it was crossed on a non-business day. Keep evidence of each notice. A loss alert is a reporting duty, not an instruction to sell; the response to a large fall follows the agreed rules in the investment policy statement.

Alert IDDate threshold crossedValueNotified onChannel
[ALR-NNN]YYYY-MM-DD[amount]YYYY-MM-DD HH:MM[Channel]

8. Corporate actions and sustainability reporting

DateInstrumentCorporate actionElection madeEffect
[YYYY-MM-DD][Instrument][Rights issue / Merger / Fund change][Election][Effect]
(Example)None during the period
Sustainability measureClient preferencePortfolio valueData source and date
Share of sustainable investmentsExample: at least 20%Example: 31%[Fund disclosures, YYYY-MM-DD]
Principal adverse impacts consideredExample: GHG emissions, controversial weaponsExample: both considered by all equity holdings[Fund disclosures]
Taxonomy alignmentExample: no minimum[%][Source]

9. Statement of client assets

ItemDetail
Custodian[Name, location]
Assets held by the firm or its custodian at period endSee section 2
Client money held[amount and where]
Assets subject to transactions in course of settlement[Detail]
Assets on loan or used as collateral[None / Detail]
Protection arrangements[Investor compensation scheme name and limit, check local rules]

Compare this report with the statement you receive from the custodian. Tell us at once if you see a difference.

10. Goal progress

GoalCurrent valueYears remainingProjected value at goal dateTargetStatus
OBJ-001 Retirement (Example)187,60015 (to 2042-09-30)about 622,000590,000On track
OBJ-002 Education (Example)46,9005 (to 2032-09-30)about 72,60066,000On track

Example method: the IPS formula with annual contributions (14,400 and 3,600) and expected returns after costs of 3.94% and 2.70%, applied over the remaining years. Projections are illustrative and depend on the assumptions; they are not guaranteed.

Use the same projection method and the same capital market assumptions as the investment policy statement, and change them only when the firm publishes new assumptions, saying so in this section. A goal is "on track" when the projection at the goal date is at or above the target, "at risk" when it is below the target but within an agreed tolerance, and "off track" otherwise. An off-track essential goal triggers the agreed responses in the investment policy statement: first higher contributions, then a later date, then a lower target, and a change of risk band only after a new risk profile.

11. Periodic suitability review

CheckOutcomeEvidence
Client circumstances refreshed[Yes, meeting on YYYY-MM-DD / Change recorded][Risk profile version]
Risk profile still valid[Yes / Updated to band][CRP reference]
Objectives and horizons unchanged[Yes / Changes][IPS section 3]
Knowledge and experience unchanged[Yes / Updated]
Sustainability preferences unchanged[Yes / Updated]
Portfolio consistent with IPS ranges and limits[Yes / Exceptions]Section 5
Costs consistent with the service and alternatives[Yes / Comment]Section 6
Service still appropriate for the client[Yes / Propose change]
Overall conclusion[Remains suitable / Changes recommended]

Example: annual meeting held on 2027-10-12. No change in income, family or health. Theo's (holder 2) employer shares fell to EUR 34,000, about 13% of the managed account and the shares combined (34,000 / 268,500); a selling plan for the next open window was discussed and remains outside the mandate. The portfolio remains suitable; no change to the IPS.

Changes since the last full suitability report: [List only what changed; refer to the last full report by ID].

Conducting the review and common errors

Before the meeting, refresh the client data that drives suitability: income and spending, assets held elsewhere, planned withdrawals, family and health changes, and any change of tax residence. In the meeting, walk through the summary, the goal progress and the costs, ask open questions about changes, and confirm the sustainability preferences. After the meeting, update the risk profile if anything changed, decide whether the portfolio and the service remain suitable, and record the reasons in this section. If a change in the portfolio or the service is recommended, document it in a new suitability report.

The errors found most often in file reviews are: returns after costs compared with a benchmark without saying that the benchmark carries no costs; time-weighted and money-weighted figures mixed in the same table; ex-post costs that leave out fund costs or transaction costs; a suitability conclusion written before the client data was refreshed; loss alerts sent late or without evidence; goal projections that quietly change assumptions; and agreed actions that are discussed but never given an owner and a due date.

12. Actions and client acknowledgement

IDActionOwnerDueStatus
ACT-001 (Example)Send summary two days before next review (support need recorded)[@adviser]YYYY-MM-DDOpen
ACT-002 (Example)Provide tax report for capital gains realised in the year[@operations]YYYY-MM-DDOpen
ACT-003 (Example)Review education glide path step due in 2030[@portfolio-manager]2029-12-31Open
[ACT-NNN][Action][@owner]YYYY-MM-DD[Status]

I/we have received this review and discussed it with the adviser. I/we confirm that the information about my/our circumstances is up to date, or I/we have told the adviser about the changes listed above.

ClientSignature or electronic acknowledgementDate
[Name][Signature]YYYY-MM-DD
[Name][Signature]YYYY-MM-DD

13. Jurisdiction notes

JurisdictionBasis (names and numbers)Local items
EUMiFID II Article 25(6); Delegated Regulation (EU) 2017/565 Articles 50, 54(12) to (13), 60, 62, 63Quarterly statement for portfolio management with Article 60(3) exceptions; annual ex-post costs; 10% loss alerts; Retail Investment Strategy changes pending, not in force at 2026-10
United States, investment advisersAdvisers Act fiduciary duty (SEC Release IA-5248); custody rule 17 CFR 275.206(4)-2Qualified custodian sends account statements at least quarterly; adviser statements urge the client to compare with the custodian's; the 2023 safeguarding proposal was withdrawn in June 2025
United KingdomFCA COBS 16A (by reference), Consumer Duty PRIN 2APeriodic reporting and consumer understanding outcome
[Other][Law or rule][Items]

14. Glossary and references

Glossary

TermMeaning
Time-weighted returnReturn that removes the effect of contributions and withdrawals; used to judge the manager
Money-weighted returnReturn on the client's own cash flows, affected by their timing
Modified DietzA method that approximates time-weighted return by weighting cash flows by time invested
BenchmarkThe reference index mix agreed in the IPS
Ex-post costsCosts actually incurred over a past period
Service costsCharges for the investment service, such as management and custody fees
Product costsCosts inside the funds or products held, such as ongoing charges
Percentage point (pp)The arithmetic difference between two percentages
Loss alertNotice sent when the portfolio falls by a set percentage within a reporting period

References

SourceVersion or dateUse
Directive 2014/65/EU (MiFID II) Article 25(6)Consolidated text on EUR-LexReporting to clients
Commission Delegated Regulation (EU) 2017/565 Articles 50, 54, 60, 62, 63OJ L 87, 31.3.2017, as amendedCosts, periodic suitability, statements, loss alerts
SEC Rule 206(4)-2 (17 CFR 275.206(4)-2)eCFR, currentUS custody and account statements
SEC Release IA-52482019-06-05US adviser fiduciary duty
FCA COBS 16A, PRIN 2ACited by reference onlyUK reporting and Consumer Duty

Related templates: Investment Policy Statement for an individual (finance/investment-policy-statement-individual), Client Risk Profile (finance/client-risk-profile), MiFID Suitability Report (compliance/mifid-suitability-report), Performance Attribution Report (finance/performance-attribution-report), Best Execution Policy (compliance/best-execution-policy), Net Worth Statement (personal/net-worth-statement).

Standard and licence note

Based on Directive 2014/65/EU (MiFID II) and Commission Delegated Regulation (EU) 2017/565 (Articles 50, 54, 60, 62 and 63), with US notes based on SEC Rule 206(4)-2 and SEC Release IA-5248. EU legislation is reused with acknowledgement of EUR-Lex as the source; US federal rules are public domain. FCA Handbook provisions are cited by reference only. Article and rule numbers are cited and requirements are described in original wording; the report structure, formulas as applied and all example figures are original and fictional. Check the current consolidated texts, national rules and the status of the EU Retail Investment Strategy before use. This is a document format, not financial, investment, tax or legal advice. Template licence: MIT.

相关模板