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Wrap Fee

   Also found in: Wikipedia 0.01 sec.
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.


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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.
Most brokers will work with you to find a fee you can afford or wrap fees in your loan.
The expenses most people don't know about fall under five categories: asset charges, wrap fees, mortality expenses, fund expenses and investment management fees.
 
 
 
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