Managed Accounts

In setting up a managed account, you could allow some or all of your monetary assets to be invested in established mutual funds, or individual securities that are managed by a professional money manager or management team. You can customize your portfolio to meet your specific investment needs and objectives. In most cases, these money managers or teams have extensive expertise in the investment field. Your financial professional should have research and performance statistics on the people or teams he or she recommends to you. Of course, past performance is no guarantee of future results.

It works like this. You and a financial professional discuss your financial goals and objectives. Then, the financial professional researches investments that could help you achieve those goals and makes recommendations to you. One of those recommendations may be to use a managed account. Through a managed account, you can have access to a custom-managed portfolio that may help fulfill one or more of your financial goals.

Managed accounts employ a different fee structure than typical brokerage accounts where you might normally buy and sell stocks and bonds and buy mutual funds. Fees are generally asset-based rather than totally commission-based. This means that you pay a flat percentage fee based on the value of your assets.

With a managed account, you gain the expertise of financial professionals whose goal is to manage your account in accordance with your objectives. At the same time, your cost of doing business may be reduced. Basically, you can spend more time enjoying your assets than you do managing them. If this kind of investment strategy sounds like it might be appropriate for you, talk to a financial professional about it today.