The new platform includes a full range of traditional investment strategies, such as domestic and international equities and fixed income, as well as a wide range of alternative strategies for high-net-worth investors. Alternative strategies include hedge funds, commodities, real estate and private equity.
In creating the new program, Wachovia has enhanced its asset allocation and manager selection process to include recommended pairings or blends of certain investment strategies. The investment blends are based on extensive analysis by Wachovia’s new Investment Strategy and Research Team to determine how the various styles of money managers work together.
“We consider their attributes individually and in concert to determine the optimal investment solution for each client,” said Bob Newell, president, Wachovia Trust, who oversees Trust and Investment Advisory Services. “As one of the nation’s oldest and largest trust companies, we approach each client individually as an objective fiduciary to provide a customized asset allocation model attuned to their risk tolerance and time horizons. Clients have told us they want more choice, and we're excited to offer this expanded array of traditional, as well as alternative investments to help meet their needs."
To assess the attitudes and preferences of high-net-worth investors, Wachovia retained a third-party management consultant to conduct in-depth research with clients and prospects. Investors in the survey said they wanted more investment choices, based on an objective selection process, and wanted financial planning that included their non-financial assets, such as real estate or their business. Survey respondents were more sensitive to performance than fees and expressed a desire for easy-to-understand pricing that indicates a clear breakdown of fees charged.
“Investors are looking for a trusted advisor who gives them access to best-in-class money managers and keeps their best interests at heart,” Newell added. “We have assembled a talented team of advisors who not only deliver on that promise but who also can advise them on the best trust structure to help protect, grow and transfer assets to future generations.”
Wachovia’s Trust and Investment Advisory Services team includes 154 investment professionals, as well as 528 trust advisors and associates who are locally based in 17 states from Connecticut to Florida and west to Texas. Through aggressive recruiting and retention efforts, Wachovia has built a highly credentialed team with degrees and designations such as MBAs, CPAs, JDs, CFAs, CTFAs, and CFPs.
Newell noted that one advantage of the new program is the firm’s ability to transition an investor’s existing portfolio. “We can transition an existing portfolio to a more fully diversified target state over multiple tax periods,” he said. “We can also use alternative strategies in select portfolios to help mitigate risk.”
Complementing the expanded array of investment alternatives are Wachovia's capabilities for managing customized equity, fixed income and options strategies, as a part of a broader investment solution. Customized portfolio management is available for investors who seek a competitive investment management approach that is tailored to address unique constraints or circumstances that cannot be met by mutual funds or modeled separate accounts.
In addition to high-net-worth individuals, the program is well suited for the nonprofit market, where Wachovia has an extensive client base of private foundations, supporting organizations, individual charitable trusts and endowments.
Stanhope Kelly, president of Wachovia Wealth Management, said these changes in the firm’s investment platform complete its full suite of services. “Over the past couple of years, we have made significant investments to deliver on our promise as a leading wealth management provider,” he said. “Those enhancements run the gamut from more sophisticated financial planning and the addition of specialty products such as aircraft financing to the expansion of our charitable and estate services. At the same time we have expanded our insurance and family office practices through acquisitions, while continuing to win new clients.”
Wachovia Wealth Management delivers integrated financial products and services through a team-based model, coordinated by 240 dedicated relationship managers who serve as the primary point of contact for their clients. In addition to investment management, Wachovia Wealth Management offers private banking and credit services; debt solutions; financial and tax planning; trust and estate planning and administration; charitable services and insurance solutions. Other specialties include risk management services, family office services, family governance and stewardship consulting, marine and aircraft financing, and retirement and benefits services.
About Wachovia
Wachovia Corporation (NYSE:WB) is the 4th largest wealth manager in the country, according to Barron’s 2005 ranking of U.S. Wealth Managers, with $298 billion in assets. Wachovia is one of the nation’s largest diversified financial services companies, providing 13.4 million household and business relationships with a broad range of banking, asset management, wealth management and corporate and investment banking products and services. Until merger integration activity is completed, the company will continue to be known as Western Financial Bank in California. Globally, Wachovia serves clients through more than 40 international offices. Wachovia had assets of $541.8 billion, market capitalization of $90.2 billion and stockholders’ equity of $49.8 billion as of March 31, 2006.
Email This Page
Printer Friendly Version