|
|
| |
Tax-Managed Indexing
Add the tax-loss harvesting power of tax-managed core portfolios to your practice and differentiate your firm for higher net-worth accounts.
Wealth Managers are experiencing an increased demand for differentiation in service offerings as well as confirmation of increased returns in an effort to demonstrate value to high net-worth individuals.
Tamarac is the only software solution enabling advisors to deliver sophisticated in-house stock portfolio management practices, including tax and risk management techniques, at a fraction of the cost of outsourcing.
Tamarac's web-based Tax-Managed indexing provides advisors with an automated way to construct tax-managed core portfolios that are built to mimic the performance of a standard equity index while holding only a subset of the securities within the index.
Tax-Managed Indexing enables advisors to implement specific techniques for the benefit of harvesting losses within portfolios of their clients. The net impact is the utilization of these losses to offset gains in other assets, such as hedge funds or other aggressive alpha strategies.
Differentiate your firm:
- Differentiate your firm by offering an advanced tax-loss harvesting product – typically only found in large institutional firms
- Increase your profits by running tax-managed core portfolios in-house at a fraction of the cost of outsourcing to a SAM
- Increase the value your firm delivers to clients
- Attract larger taxable accounts from higher net-worth individuals
- Support clients' requests to include/exclude specific securities
- Employ wealth manager tactics
- Reduce the cost of investing for your clients, through greater tax efficiency than mutual funds provide, while equaling the market's return.
Using Tamarac, select the index you would like to mimic and the number of individual securities the client will hold. For example, an S&P 500-targeting portfolio may hold approximately 150 stocks aligning closely with important index factors such as industry, sector and capitalization distribution.
Tamarac automates the process of selecting the specific security lots to sell to harvest losses and invests the proceeds in securities that equal or improve the total portfolio's return and sector characteristics in relation to the index.
Tax sensitivity in Tamarac can be adjusted to generate tax-loss harvesting to meet your client requirements while tracking closely to the performance of the index as a whole factoring in all the account specific restrictions and rules.
Tamarac also supports strategies that hold dramatically fewer stocks (less than 150) and an ETF of the target index to reduce tracking error and still support tax-loss harvesting.
Increase your firm's marketability toward larger taxable accounts today with Tamarac's web-based Tax-Managed Core software.
| |
|
