began offering the wrap account
service on May 1 by teaming up with Mizuho Bank, an arm of Mizuho Financial Group Inc.
Before amendment After amendment * Wrap account
commissions for * Commissions to be determined discretionary and non- between securities company discretionary investment advisory and investor services by securities companies based on total assets managed * Securities companies barred * Securities companies allowed to from charging brokerage charge brokerage commissions for commissions for securities securities trading for wrap trading for wrap accounts
For a free guide explaining Wrap Accounts
call 0800 544 644.
Morris said it has transformed from an asset-gathering organization that sold variable annuities and mutual funds into an organization with full trading capabilities, including wrap accounts
, separately managed accounts and fee-based planning, all initiatives to give Signator's agents the ability to "compete in a world that's not just an insurance world today.
A recent report on such accounts by Cerulli Associates, a Boston investment consulting firm, says that mutual fund Wrap account
assets make up 11% of total Wrap assets under management, with $12.
In the typical wrap account
program, every aspect of investing--from trade execution to account management--is handled by a single manager for one all-inclusive fee.
In the United States, assets held in wrap accounts
, more popularly called SMAs, stand above $500 billion, according to Nikko Cordial Securities Inc.
Firstly, a wrap account
is an administrative tool and is not a product.
Areas of interest may include wrap account
suitability, effectiveness of disclosures, conflicts of interest, and brokerage practices, including best execution and trading away.
A wrap account
provides a platform through which all of these different products may be managed, including those policies that are run by companies other than the provider of the wrap account
3 billion, which Ameriprise attributes to wrap account
net inflows and higher earnings on cash balances that were more than offset by lower client activity and a 5% decline in average equity markets.