Wrap Fee


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Wrap Fee

A fee a money manager charges a client for all services the money manager offers. The wrap fee covers investment advice, portfolio management brokerage services and anything else to which the manager and client agree. The wrap fee is usually calculated as a percentage of the assets under management. Paying a set fee for all services rather than individual fees repeatedly can help streamline the management process for all involved.
References in periodicals archive ?
New highlights for 2017 include electronic investment advice, wrap fee programs, and FINRA oversight.
The portion of the wrap fee that's paid to the portfolio manager
The Securities and Exchange Commission today announced that two investment advisory firms are settling charges related to compliance failures within their wrap fee programs.
This wrap fee would be divided between the particular manager and the brokerage firm.
More importantly, for the rising number of fee-based advisors, a SPIA purchase can shift assets from an advisor's purview, where it brings a 1 percent or 2 percent management or wrap fee into the general account of an insurance company.
Serving institutions and wealthy clients, Batman pioneered large-scale wrap fee programs--investment plans allowing Vest affiliates to offer a fee-based alternative to charging commissions that up until then was the primary source of revenue for the financial planning industry.
Also, an advisor should be able to provide an all-inclusive wrap fee to cover all services.
IGS also announced an agreement to license its new IGS RiskScore offering, as well as IGSignals, to independent broker/dealer and investment advisory firm, Investors Capital Corporation, for dynamic asset allocation within its wrap fee portfolios.
Chartwell provides equity and fixed-income investment strategies to institutional, private clients and clients of wrap fee programs through separate accounts, sub-advisory relationships and mutual funds.
In wrap fee programs, subadvisers typically use a sponsoring brokerage firm to execute their trades on behalf of clients, and the costs of those trades are included in the annual wrap fee that each client pays.
Established in 2001, Los Angeles-based Causeway provides investment management services to corporations, pension plans, public retirement plans, Taft-Hartley pension plans, endowments and foundations, mutual funds, charities, private trusts, wrap fee programs, and other institutions.
Causeway Capital Managementprovides equity investment management services to institutional clients including corporations, pension plans, public retirement plans, sovereign wealth funds, superannuation funds, Taft-Hartley pension plans, endowments and foundations, mutual funds and other collective investment vehicles, charities, private trusts and funds, wrap fee programs and other institutions.