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Tag: separately managed accounts

Benefit of diversification in separately managed accounts

Benefit of diversification in separately managed accounts

Finance
A Separately Managed Account, or SMA, is an individual investment account typically offered by a brokerage firm and managed by an independent investment management firm. After a review of various factors, such as your personal risk tolerance, investment timeframe, and investment objective, your financial consultant will present suitable investment managers for you to review and approve. A Separately Managed Account has many benefits. In this article we will analyze how Separately Managed Accounts provide investors the highest level of diversification necessary to weather current market volatility. The Overwhelming Challenge of Portfolio Diversification One of the most important factors that determines the success an investor realizes is diversification. The challenges that ...