In a press release, Envestnet says it sees a growing trend for advisers to favor the UMH model, and the Envestnet platform offers data aggregation that allows advisers to assemble a complete picture of the client’s wealth, including investable assets (those managed by the adviser) as well as external assets (those managed by other providers).
The platform’s features are designed to help advisers build and maintain client trust by making the portfolio design and management process more streamlined and transparent. To guide fiduciary decision-making, the Envestnet platform offers an interactive feature called Fiduciary Oversight Notes, or “FONs.” FONs are virtual “sticky notes” that help the adviser document his or her decision making and maintain a record of the fiduciary process.
Other features of the Envestnet platform include:
- Portfolio Analysis: The platform allows an adviser to conduct diagnostics on a portfolio for greater transparency, perform “what-if” scenarios to help assess the probable success of a strategy’s ability to meet client goals, and view side-by-side comparisons of a proposed investment versus a target allocation.
- Filter and Comparison Tools: The platform provides access to objective investment research on a broad list of asset managers, including access to 90% of the Cerulli top 100 managers of separately managed accounts, and more than 35 strategists under three broad categories: strategic, tactical, and dynamic. Filter tools allow advisers to identify only those investment products that meet their specified criteria. Comparison tools allow advisers to see comparisons of products either graphically – by performance, risk-return, product sector, holdings, or asset allocation – or by investment profile.
- Advanced Proposal Generation: The platform offers capabilities to build more comprehensive investment proposals that incorporate UMH capabilities and mechanisms for fiduciary oversight, and allow advisers to perform advanced portfolio analysis on current and proposed investment strategies.
- New Investment Solutions: The platform offers the PMC Singer Partners Edge Portfolio, an alternative investment strategy provided via a relationship with Singer Partners, and a solution with eCD Market to offer the ability to use CDs for client’s cash equivalent needs.