Separately Managed Accounts
Separately Managed Accounts
Actively Managing Structured Note Portfolios
Choosing and managing individual structured investment securities can present challenges, particularly across multiple client accounts.
Outcome Driven Strategies (“ODS”), offered in partnership with Cornerstone Advisory, provide the benefits of structured investments through professionally managed separate accounts, relieving advisors of the operational and investment burdens that may come with individual Structured Product purchases.
Why Consider a Separately Managed Account Structure?
Enhanced Yield
- Enhanced Yield in a Low-Yield Environment
- Coupons can be paid in bullish, neutral, or moderately bearish markets
- Net returns above comparable investment grade investments
Operational Efficiency
- Maturities
- Coupon reinvestment
- Protection monitoring
- Event projections
- All managed by ODS rather than the advisor
Better Execution
- Better product terms negotiated with pooled capital compared to individual investment
- Drive competition within issuer network to improve terms and lower structuring cost
- No additional wholesaling fees
Risk Diversification
- Multiple investment banks utilized in each strategy
- Laddered approach to diversify risk
- Optimized maturities based on each bank’s unique funding grid