Stop Wasting Wealth in Mutual Funds Don F. Wilkinson

ASSET MANAGEMENT BEYOND MUTUAL FUNDS
Let Don F. Wilkinson introduce you to a better way of investing your money today: a separately managed account.

Comparing Separate Accounts with Mutual Funds:

Separate Account Asset Control

Your choice?

  • Mutual Funds: one manager watching 150 stocks
  • Separate Account: multiple managers watching 50 or fewer securities

In today’s market, investors have a better chance if more people are watching the hen house.

It’s a fact that the span of control of a manager in charge of a mutual fund can be limiting with scores of stocks to look after.

In a separate account, money managers advise on usually fewer than 50 securities in each client’s portfolio. These money managers usually have access to dozens of security analysts to provide further backup monitoring.

In addition, each investor owns the securities in his or her account. This makes it easier to perform a re-balancing of specific securities to match market conditions.

Restrictions in the mutual fund investment vehicle do not permit this type of control.


Excerpt from Stop Wasting Your Wealth in Mutual Funds: Separately Managed Accounts—The Smart Alternative

Stop Wasting Wealth
Click here for more information on the book

Chapter 9—Asset Control: Manager in Control or Investor in Control

As an astute investor in the times we live in, you need hands-on control of your assets under management. It is evident that the separate accounts platform offers more in the way of investor participation. But my main point is the separate account delivers you the control over investing your wealth. An investor who has the control has the power.

Mutual Funds:

  • Fund managers may be responsible for hundreds of securities.
  • Investor is cuffed to the whims of funds managers.
  • Investor has no say in stock selection.

Separate Accounts:

  • Money managers are responsible for 30 to 80 securities.
  • Investor is in control of his or her portfolio.
  • Investor suffers no impact from other investor actions.