Avoid "double dipping" when putting a variable annuity inside an investment advisory wrap account
. If the annuity pays you a commission, let the client know and don't include the annuity value when calculating your investment management fee.
At some stage within the near future you may well come across the term 'Wrap Account
' in relation to your own investment matters, if you haven't done so already.
My own practice would benefit from a "wrap account
" approach, which would entail a flat fee and encourage patients to rely more on e-mail and phone calls for ongoing medical guidance, rather than office visits.
by offering a ''wrap account
'' service to the banking group's wealthy customers.
commissions for discretionary and non-discretionary investment advisory services by securities companies are based on the total assets under management rather than investment performance.
QMY bank has sent me details of something called a Wrap Account
. Are these new because I've never heard of them before?
They started with the mutual fund wrap arena (a wrap account
is one in which a brokerage manages an investor's portfolio in exchange for a flat quarterly or annual fee) and followed with an extensive separate accounts product.
In 2001, he went on to help start the innovative investment management business Seven Investment Management (7IM), which introduced the UK's first institutional wrap account
- a tailored and flexible facility for private investors, allowing them to invest in a portfolio of multiple assets such as shares, gilts, property, commodities and cash via one service.
Agents use a mix of proprietary and nonproprietary funds in wrap accounts
. A wrap account
has a minimum-required value that is low for a fee-only account.
A Wrap account
is a brokerage account with a twist.
Most other accounts charge a fee on a transaction basis, but a wrap account
charges a flat 2.5% to 3% on equity and balance portfolio accounts and an approximate 1 3/4% charge for bond portfolios.
A wrap account
is an all-inclusive, fee-based money management device that because of the management fees involved (usually 3-4%) usually involves a substantial investment portfolio.