Open-ended partnership established by Vestmark, set to provide custom model portfolios utilizing an adaptable design architecture.
Fidelity Investments and Vestmark Partner to Expand Custom Model Portfolio Access for RIAs and Broker-Dealers
In a strategic move aimed at enhancing the investment landscape for registered investment advisers (RIAs) and broker-dealers, Fidelity Investments and Vestmark, Inc. have formed a partnership. This collaboration offers a unique open-architecture custom model portfolio platform that enables eligible advisors to build personalized portfolios, integrating a diverse range of investment products within a single custodial account.
The platform, fully integrated with Vestmark’s technology and supported by Fidelity’s institutional research and investment expertise, is available at no cost to participating firms. This partnership significantly expands the access to customizable model portfolios for RIAs and broker-dealers, providing them with a more flexible and sophisticated alternative to typical off-the-shelf models.
Advisors can tailor portfolios to individual client needs, leveraging Vestmark’s scale (supporting $1.7 trillion in assets and 4.5 million accounts) and Fidelity’s research capabilities. The platform facilitates the integration of semi-liquid alternative investment products and private assets into tax-managed portfolios, enhancing advisors’ ability to serve larger and more sophisticated client relationships efficiently.
The Vestmark platform, through the partnership, optimizes and rebalances across both public and private holdings. It offers access to custom model portfolios that can include semi-liquid interval funds, separately managed accounts (SMAs), exchange-traded funds (ETFs), and mutual funds. Additionally, advisors can direct personalized capital gains budgets and seamlessly transition accounts with embedded gains through the platform.
The strategic relationship between Fidelity Investments and Vestmark aims to provide advisors with personalized investment solutions, broad portfolio flexibility, and robust tax-optimization capabilities. Amanda Robinson, the head of Wealth Advisory Managed Solutions Specialist Distribution at Fidelity Investments, and Karl Roessner, CEO of Vestmark, are leading this initiative.
This partnership marks a significant step forward in the wealth management industry, offering a seamless, cost-effective platform that supports greater personalization and complexity in portfolio construction alongside efficient management tools.
Fidelity Investments and Vestmark's partnership, as announced on ffnews.com, is focusing on the finance and business sectors, particularly the technology aspect, to expand the accessibility of custom model portfolios for registered investment advisers (RIAs) and broker-dealers. The collaboration offers a unique open-architecture platform that facilitates the integration of diverse investment products, including semi-liquid interval funds, separately managed accounts (SMAs), exchange-traded funds (ETFs), and mutual funds.
