Smartleaf Asset Management, LLC (“SAM”) announced a collaboration with Principal Global Investors® to provide advisors with highly customized, tax-optimized sub-advised portfolio management based on a new, institutional-caliber, open-architecture fintech-enabled portfolios solution offered by Principal.
“SAM’s sub-advisory service, backed by Principal’s research, enables advisors to offer investors highly disciplined investment solutions, high degrees of customization and expert tax management – while freeing advisors to spend more time with clients,” commented Jerry Michael, President of Smartleaf Asset Management, adding “we see outsourcing both investments research and daily management, with advisors focusing on the lifetime financial needs of their clients, as the preferred path for high-growth wealth management firms.”
“Working with Smartleaf Asset Management has enabled Principal to deliver a thoughtful solution to advisors that will help achieve desired client outcomes,” said Jill Brown, managing director, U.S. Wealth Platform, of Principal Global Investors.
“This partnership can unlock more of advisors’ time while still delivering a personalized investment experience for clients.” Brown added.
“The ability to combine multiple services like asset allocation guidance, product selection, direct indexing, ESG overlays, and tax management in a holistic solution can be a differentiator for the advisor community.”
Advisors have the option to outsource the management of customized, tax-optimized portfolios to SAM and have SAM manage those portfolios to one of 37 advisor-selected asset allocation models provided by Principal Global Investors, including recommended product choices, with multiple alternatives, for each asset class. Customization options include security restrictions, custom product choice, cash management personalization, direct indexing, and ESG and religious values screens. Tax management capabilities include tax-sensitive transition, year-round tax loss harvesting, wash sale avoidance, and ongoing risk-optimized gains deferral. And taxable investors have access to an account-specific report documenting taxes saved or deferred through active tax management.
About Smartleaf Asset Management
Smartleaf Asset Management, LLC (“SAM”) is a subsidiary of Smartleaf, Inc., whose automated rebalancing workflow platform helps its clients deliver customized tax-efficient portfolios at scale. Smartleaf Asset Management leverages Smartleaf’s software to automate the management of unified managed accounts, making direct indexes as easy to use as an ETF.
To learn more, just take a look at our Digital Dashboard profile.
