Separately Managed Accounts (SMA)

Separately Managed Account (SMA) 

Depending upon a client’s investment objectives, a Separately Managed Account (SMA) platform may be recommended. The minimum investment size for this program is $35,000. 

Unlike a mutual fund where you own units, the client in an SMA program will own specific stocks and bonds in the portfolio. A licensed portfolio manager, PM, oversees the portfolio and all trading activity based upon your risk profile and objectives.
With an SMA portfolio, all fees are transparent i.e. the client knows exactly what they are paying for as they are disclosed on the account statements.  Mutual fund fees are embedded and reported as a percentage of the account assets. commonly referred to as the management expense ratio or MER.
Additionally, the client knows exactly what securities they hold at all times in an SMA account as compared to mutual funds which only show what percentage of the portfolio is allocated to a security but not when it was bought or sold. Simply put, there is more transparency in an SMA account as compared to a mutual fund account. 


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