• Unified Managed Accounts

    Unified Managed Accounts came from Multiple Strategy Accounts terms which came from the term Separately Managed Accounts. To be precise, “Unified Managed Accounts” can have one account, multiple products with multiple strategies while “Separately Managed Accounts” can have one account, one product and one strategy and “Multiple Strategy Accounts” can have one account, one product and multiple strategies.

    Unified Managed Accounts is an innovative account structure that provides the best benefits of both active and passive management. A client managed individual securities are held in Multiple Strategy Account which dynamically blends the stock and bond positions of institutional third-party money managers.

    Key Benefits of Unified Managed Accounts

    • Combines separate accounts, mutual funds and ETFs in a single convenient account which makes convenient for clients to hold Unified Managed Accounts
    • Provide more holistic understanding of client’s financial assets to portfolio managers who manages multiple asset classes across multiple managers
    • Offers flexibility to customize one’s own UMA model – makes it suitable for both HNI and smaller retail customers
    • Offers access to wide range of open investment options as per client risk, needs and investment objectives
    • Reduces paper work and other formalities.
    • Manage taxes better by utilizing Tax Harvesting techniques

    Unified Managed Accounts key terms:

    Tax Harvesting – Selling securities at loss to offset the capital gain on other stock to reduce overall tax.

    Wash-sale-rule – Securities sold to offset the capital gain liabilities cannot be bought within 30 days of selling.
    Sleeves – Sleeve is a portion of a UMA created to manage Unified Managed Accounts effectively.
    Overlay Manager – Harmonizes investor’s separate accounts (SMA, MFs, Shares, ETFs) to prevent the formation of inefficiencies. Rebalance after any changes/adjustments to client’s portfolio.

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