Frequently Asked Questions
Q: What is an SMA?
A: An SMA, or Separately Managed Account, is a portfolio that you can invest in. It is managed by a professional Financial Analyst and is designed to support the client’s needs and goals.
Q: What makes SMAs unique?
A: SMAs allow customized portfolios, professional monitoring and management, transparency, adaptability, diversification, tax efficiency, and so much more.
Q: What types of investors have SMAs?
A: SMAs are designed to provide investors with a professionally managed, custom portfolio with enhanced levels of flexibility, transparency, and communication when compared to Mutual Funds. If you value any of these factors, an SMA may be the right investment account for you.
Q: Why should I open an SMA?
A: An account that is designed for an individual provides the potential for much better performance than a standard account because it is made with your specific timeline, goals, and other needs in mind. SMAs also allow the possibility of tax-loss harvesting and other forms of tax efficiency that is not offered with Mutual Funds.
Q: Will I be required to communicate with my advisor/analyst on a regular basis?
A: You will be able to meet with us as frequently as needed, but there is no requirement. Although we would love to discuss with our clients more frequently, we are confident in our initial account building process and will be able to have your account allocated in a sufficient manner without the need to meet frequently.
We use an array of tools for regular communication, such as performance reports sent to you electronically or via mail and online portfolio information. We are always happy to communicate with clients and/or advisors to give whatever information that may be found pertinent.
Q: What is my financial advisor’s role after I open an SMA?
A: Your advisor should help you identify and select your investment options and continue to be your primary relationship manager. Your advisor will take on more of a consultative role by helping you evaluate performance and determine if your current allocations are appropriate.
If you have any questions that have not been answered here, please contact us.