Institutional Mutual Funds
Our platform provides investors the ability to invest in “institutional” class mutual funds which have lower annual expense ratios than other traditional share classes. The minimum investment amounts for funds of these types of funds are typically between $1 million to $10 million. These minimums are waived for our clients.
Some of the fund families available include: Dimensional, PIMCO, American Funds, T. Rowe Price, TIAA, Versus Capital, and Stone Ridge.
Investing in Private Funds
The ability to capture higher and more consistent positive returns with lower levels of volatility has been the attraction of private fund investing for decades. This is the reason why major pension funds and endowments have large portions of their portfolios in this particular asset class. The trade-off for investing and benefitting from these investments is giving up immediate liquidity that mostly exists with the public capital markets.
For many long-term investors, the illiquidity of a significant portion of their portfolio is not a problem or a concern. Usually, accessibility is the biggest obstacle. The largest and most successful firms have high minimum investments, which tends to fall outside the reach of the average high-net-worth investor; with minimums typically ranging from $5 – $25 million. In some cases, even those who can meet the minimum investment requirements, may be placed on a waiting list to enter the fund.
Our platform provides individuals the ability to invest in these types of funds with more reasonable minimum investment requirements. We focus on providing individual investors access to three primary areas of private capital market investments:
Private Real Estate
Investing in Private Real Estate
One thing is certain – real estate has been a reliable investment for centuries. Most individual investors today gain access to real estate exposure through owning publicly traded REITs. However, institutions have enjoyed higher returns, higher cash flows, and tremendously lower volatility by investing into privately held real estate funds.
Like most private institutional investments, the minimum investment requirement and accessibility make this a difficult endeavor for individuals. Institutional Xchange has forged working relationships with multiple institutional private real estate investment firms to offer their clients the ability to invest into private real estate. Collectively, the firms we work with own and manage over $500 billion in the private real estate assets.
Direct Access TAMP
(Turnkey Asset Management Program)
TAMPs were created to provide investment advisors an efficient method to provide professional portfolio management to their clients. TAMPs are designed to automate trading and rebalancing of model portfolios created by an investment management firm.
Unlike other TAMPs, our program can be accessed directly by RIA’s and individual investors and provides full access to our model portfolios. In addition, also allows platform clients to create their own model portfolios.
Another key feature to our program is the pricing structure. We charge a flat annual fee to access our TAMP, where most TAMPs are priced on a percentage of assets under management fee structure.
Capital Market Portfolios
Members of the platform will also have access to our capital market model portfolios. These are pre-defined set of asset allocation models with various investment objectives. They are offered under three distinct categories:
Since our platform allows for the utilization of multiple models, members can select and customize the weightings of the models to design a portfolio that is ideal for their investment objectives.
Clients have been so pleased with the robust features of the Institutional Xchange platform that many have desired to access the same, or similar features in their current and active qualified retirement accounts. To accommodate this demand, we developed a separate retirement plan platform to provide the full spectrum of services offered on the Institutional Xchange platform to qualified retirement plans.
Concierge Wealth Management
With increasing wealth, comes increasing responsibility. Most people believe they can achieve their financial objectives in life by just merely investing in the capital markets. To achieve complete financial freedom throughout one’s life, one must plan for and manage all types of risks and lifestyle changes. To help our clients live a worry-free life, we offer the full spectrum of wealth management services.
Emerging Physician Program
One of the most common statements we hear from physicians is that they regret making bad investment decisions early in their careers. In many of these cases, the young physician lacked the resources to hire a quality professional advisor.
To help young, emerging physicians make good decisions early in their careers, we have developed a program specifically for physicians in which our minimum investment requirement and minimum annual fees have been waived.
The Emerging Physician package reduces the client’s annual fee by $2,500 per year while their assets levels are low. As the physician’s investable assets increase, the discount is gradually reduced.
Institutional Xchange platform is offered as a flat annual subscription fee. Unlike the industry standard fee structure of charging an AUM fee, we believe the flat fee structure is more suitable and equitable to the high-net-worth investor.
Our flat fee ranges from $1,000 to $10,000 per year. The annual fee is strictly based on the service level an investor selects, and never on the value of the portfolio.