The popularity of Index investing has added to the growth of this segment and the popularity of low-cost index funds and exchange-traded funds (ETFs), self-directed accounts
, and phone advisors are attractive to gen-Xers and boomers.
PENSCO Trust Company, a wholly-owned subsidiary of Opus Bank ("Opus") (NASDAQ: OPB), is a leading alternative asset IRA custodian with $14 billion of assets under custody and nearly three decades of expertise providing custodian services for self-directed IRAs, qualified plans, and other self-directed accounts
that are invested in alternative assets, including private equity, real estate, notes, cash, and other non-exchange traded assets.
A letter sent to clients earlier in March said they would be moved into self-directed accounts
by April 7, if they had not already moved into a fee-based managed account or chosen the self-directed option.
Nevertheless, these self-directed accounts
customarily include higher share class expense funds available to retail investors than those that have been negotiated by the plan sponsor or advisor for the plan's investment fund menu.
The Boston-based research firm found that more women are also opening self-directed accounts
. While the active trader segment will remain male-dominated, by 2015 females will approach 12-15% of active trader accounts, the report noted.
I was familiar with IRA regulations and knew about self-directed accounts
. Self-directed IRAs are not complicated and the bank is always quick to answer questions and provide direction.
Some plans call themselves "self-directed," but they are not truly self-directed accounts
- Investors can only invest in what the investment company sells.
These DC plans place more emphasis on self-directed accounts
and portability from company to company.
Using a service delivery manager distribution engine developed by a third-party vendor, ABCBS can separate out claims based on membership and the financial institutions handling their self-directed accounts
; then it packages them up and sends them directly to those financial institutions.
Why try to invest your own retirement money?" Still, about 30% of his customers use some form of self-directed accounts
. Technology makes it easy to have self-directed accounts
, but it doesn't make investors more market savvy.
* Self-directed accounts
(if you can take the time from your business to manage an investment portfolio) let you buy and sell individual investments within your retirement plan wrapper.
457 balances and with the employee's noncontingent interest in self-directed accounts
under employee benefit plans.