Vestmark Launches Model Trading Service

Wakefield, MA – May 30, 2018 – Vestmark, the leading provider of portfolio management software and services, today announced the launch of its Model Trading Service (MTS): model management, trading, rebalancing and account administration outsourcing for Broker-Dealers, RIAs, Banks and their advisors.

Offered through Vestmark Advisory Solutions, (VAS), a wholly-owned, RIA subsidiary of Vestmark Inc., the MTS drives productivity and efficiency of trading home office-created, third-party and advisor-defined models, as either single sleeve accounts (SMAs) as well as multi-sleeve, unified managed accounts (UMAs). This service handles the burden of maintaining client portfolios in line with their respective investment models and allocation targets set by the advisor.

By leveraging the VestmarkONE portfolio management platform and its flexible ‘model building block’ technology, the Vestmark MTS provides sophisticated account implementation without the overhead associated with in-house trading, rebalancing, tax-management and ongoing account administration.

Specifically, the Vestmark Model Trading Service:

• supports all discretionary advisory programs including MF/ETF Wrap, SMA, UMA, Rep as PM and Rep as Advisor;
• supports equity, mutual funds and ETFs and can support fixed income via third-party managers available on the Vestmark Model Marketplace (VMM);
• trades models from any firm-approved source including internal product teams, third-party managers and strategists, financial advisors -- or any of the 500 models from 120 managers on VMM;
• trades accounts and sleeves in accordance with model allocations, positions and drift tolerances;
• rebalances accounts to their respective schedules and nets offsetting trades in each account for multi-sleeve UMAs;
• offers tax-aware trading with optimal tax-lot selection as well as tax-loss harvesting upon request;
• works directly with managers to understand their trading instructions and with advisors to customize trading parameters, restrictions and tolerance settings for their client accounts;
• delivers a full suite of ongoing account administration services including new accounts, cash deposits/requests, scheduled withdrawals, account terminations and model/asset allocation changes.

“Our goal is to enable wealth management firms and their advisors to streamline administrative processes to free up more time to spend with their clients and on growing their businesses. We are extending our suite of award-winning outsourced services with the addition of MTS,” said John Lunny, CEO of Vestmark. “Our solutions are designed to help wealth management firms and asset managers to stay ahead of shifting market dynamics and we are excited to help them succeed.”

According to Cerulli Associates, “Relying on models and outsourcing model portfolios makes it easier for advisors to streamline their practices and emphasize client management and business development.”

Additional information on the Model Trading Service can be found on Vestmark’s website here.

About Vestmark

Headquartered in Wakefield, Mass. and founded in 2001, Vestmark is a leading provider of portfolio management solutions and outsourced services for financial institutions and their advisors, enabling them to efficiently manage customized client portfolios through an innovative technology platform. Supporting over $1.5 trillion in assets and 5.5 million accounts, Vestmark is a partner to some of the largest and most respected wealth management firms. For more information about Vestmark’s solutions, call (781) 224-3640 or visit www.vestmark.com.

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