Smartleaf Asset Management, LLC selected to provide sub-advisory service for Principal Global Investors® “fintech-enabled” portfolios.
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 Principal Global Investors®
Principal Global Investors® leads global asset management at Principal®. As a multi-investment team firm, we bring a focused perspective and offer expertise across a host of asset classes.
At our core, we are driven by our purpose to help investors and businesses achieve their financial goals. Our global investment professionals deliver investment solutions for public and private pension funds, foundations and endowments, central banks, insurance companies, sub-advisory arrangements, sovereign wealth funds and individual portfolios.
Principal Global Investors manages approximately $579.4 billion in assets on behalf of over 800 institutional clients located in over 80 markets as well as retirement plans and individual clients, reflecting our worldwide market reach and experience and our commitment to high-quality research and service (as of March 31, 2022). To find out more, visit us at principalglobal.com.
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. For more information on SAM, visit www.smartleafAM.com
To learn more contact us at sales@smartleafAM.com.
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