Unified Managed Accounts
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The concept of the Unified Managed Account (UMA) is simple enough. The UMA combines the benefits and attributes of separately managed accounts (tax efficiency, individual money managers) with those of traditional mutual fund wrap programs (lower minimums, portfolio diversification, lower fees) and ETFs (index-style, broad market diversification) into a single integrated wealth management solution. While the concept might be simple, the operational and systems complexity of developing and operating a Unified Managed Account program can be daunting. |
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Unified Managed Accounts have been heralded as the next step in the provision of comprehensive, fee-based investment solutions. With a Unified Managed Account program, financial institutions are able to offer their financial advisors and clients more robust asset allocation, holistic rebalancing and cash management services, and innovative customization and tax management services through a single platform. All UMA programs are not created equally.
While UMAs and earlier generation commingled investment vehicles have been around for many years, few programs offer the degree of customization available via Placemark’s program development and overlay management services.
Using Placemark, a firm can:
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| Grow total fee-based assets under management by recruiting new advisors and by making existing advisors more productive |
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| Migrate advisors from transactional business models to fee-based business models |
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| Reduce the operational complexity and expense associated with operating multiple product-specific fee-based investment programs |
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| Offer advisors superior wealth management solutions so they can better serve high net worth clients |
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| Improve diversification and instill better controls, resulting in reduced compliance risk and less client volatility |
Using Placemark, an advisor can:
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| Improve diversification and automate services for the mass affluent clients (portfolios from $250K to $10M+) |
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| Offer highly customized investment solutions for high net worth clients based on an individual client's tax, risk, restrictions, legacy assets, and other criteria |
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| Automate administrative tasks such as rebalancing and managing cash flows and simplify those tasks by reducing the number of accounts while improving service |