It is more essential than ever for advisors to incorporate comprehensive tax management into their service offerings. In the past, tax optimization was typically handled manually at the end of the year. We see a future where advisors leverage data and automation approaches to help clients maximize their after-tax returns.
Taxes can often be a client’s biggest expense, creating an opportunity for advisors to provide value and deepen their relationships by proactively identifying ways to help clients save.
92% of clients expect tax planning information and strategies from their advisors.1
Of the clients expecting tax planning information and strategies, only 25% are receiving it.2
If advisors don’t consider the tax implications for their clients' portfolios year-round, they may be leaving money on the table.
44% of portfolio gains could go to taxes - but they don't have to
Source: Morningstar3
The Fund Strategist Tax Management Service (FSTM) is now available at your firm. This solution is designed to help reduce tax exposure with the goal of improving after-tax returns. Below are resources to help you learn more and get started today!
Fund Strategist Tax Management gives clients the best of both worlds: a personalized approach to sophisticated tax management and your comprehensive wealth management advice
Source: Cerulli Associates. "Direct Indexing Growth Projected to Outpace ETFs, Mutual Funds, and Separate Accounts Over Next Five Years." August 16, 2021
To access our Fund Strategist Tax Management service simply follow this path within the next generation Proposal tool.
For any questions about our Fund Strategist Tax Management service or Proposal generation, please contact your Envestnet representative.
