Month: March 2014

Unified Managed Household

Investors’ requirement for simplicity, transparency and personalized service are dictating that investment services must now include a comprehensive plan. Investors want solutions that are holistic in approach, including tailored advice and aggressive risk management that offers peace of mind. They want choice and convenience without sacrificing results. Unified Managed Households are a new form of fee based investment solution that allows clients to combine multiple unaffiliated products into a single service that better meets their needs.

The evolution to the Unified Managed Household (UMH) required a major philosophical shift since they break down the traditional product centric approach in favour of an integrated client centric investment solution. The concepts behind the UMH is applicable as the building blocks for wealth accumulation and a successful retirement. UMH programs are not products to put on a shelf beside other products, but a roadmap
showing the best practices for delivering the greatest possible value.

A UMH is a way for investors to earn better risk adjusted and tax managed returns due to comprehensive oversight, execution and reporting.  UMH programs deliver three core value added services that have not been available to high net worth clients in the past:
a single, integrated system which supports household level asset allocation;
a customized investment decision for each client in the context of their household;
and the operational procedures and technologies necessary to produce statements, create performance reports and perform appropriate analytics incorporating a client’s various registrations and product types.

Traditionally, coordination among an investor’s separate accounts, mutual funds and other investment vehicles has been difficult and cumbersome. The administrative burden and complexity of even basic tasks was daunting.

UMH programs deliver a streamlined and efficient approach to serving a complex variety of client needs using the best in class technology with superior customer service. Universal management not only results in better return for less risk, it is also simpler for investors to understand and track.

Unified Managed Household (UMH) structures provide:

  • investment and tax optimization across an investor’s household;
  • automated overlay management and rebalancing; and
  • support for multiple investment solutions like Separately Managed Accounts (tax efficient stock & bond portfolios from individual money managers), Pooled Funds (lower minimums, portfolio diversification, lower fees) and ETFs (index style, broad market diversification) using an all-in-one platform.

As a result of the UMH, investors are able to view, organize and understand their personal finances more clearly.  UMH provides a critical new way to thinking about how to better service the broadest needs of investors by creating incentives for them to consolidate their assets with a single advisor.