Flaws Of Managed Asset Programs

By Mark Barnicutt on February 25, 2009

With the globalization of capital markets over the last few decades, there has been a marked increase in the range and complexity of investment opportunities available to investors.  In fact, the array of investment options available today is virtually limitless: stocks, bonds, mutual funds, pool funds, hedge products, structured products, private equity, income trusts and commodities.  To simplify the delivery of this vast array of investment solutions to investors, many Investment Advisors have increasingly shifted their clients’ portfolios towards Managed Asset Programs, most of which have multiple investment manager offerings.

We are often asked by both clients and Advisors ‘stack-up’ compared to other investment offerings available in the marketplace.  Although these programs can offer considerable benefits to both Investor Client and Advisor, we’ve found, over the years, that these programs can frequently be hindered by four flaws:

  1. High Fees
  2. Poor Portfolio Structures
  3. Investment Constraints
  4. Misguided Investment Manager Hiring/Firing Processes

For these reasons, a February 2009 Investment Executive interview with Dan Hallett (Vice President & Director, HighView Financial Group), who heads-up our firm’s manager dearch & due diligence efforts, is still relevant today.

To read this article, click here.

Mark Barnicutt

As HighView’s President, CEO, and Co-Founder, Mark Barnicutt has thirty years of experience as a Bay Street executive and entrepreneur, with an expertise in the stewardship of family wealth as a mentor to both affluent families and wealth management businesses.
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