So-called “held-away” accounts such as 401ks, 403bs, 529 plans and annuities make up a significant part of most investors’ wealth and often represent a large opportunity for individuals to grow their net worth. But these accounts have historically been challenging for independent financial advisors to support.
New York City-based financial technology company FeeX announced today that it has formed a partnership with Wilmington, Del.-based Coastal Investment Advisors, Inc., (CIA) an SEC Registered Investment Advisor and CoastalOne company, to enable their advisors to manage clients’ held-away accounts. The firm recently rolled out the technology to its 75+ advisors, who have already begun to onboard clients onto the platform.
The ability to manage these accounts creates new revenue streams for advisors and cultivates better financial outcomes for their clients, according to the announcement. FeeX helps Coastal Investment Advisors to manage these accounts without assuming custody, enabling them to manage their clients’ retirement and other held-away accounts like they would other accounts.
Third-party studies show that professional management of retirement accounts can amplify returns by 3.3% each year, net of fees, than accounts without professional management. Over 20 years, FeeX points out that can lead to as much as 79% more wealth for clients.
“We’re thrilled to be a part of CoastalOne’s offering to both their advisors and their respective clients. This partnership will help individual clients benefit from growth in their retirement accounts and across their entire portfolio,” said Dave Goldman, VP of Business Development at FeeX. “Retirement plan assets represent a significant amount of most Americans’ savings, and it’s vital that advisors are able to manage them with the same level of service and insight that they provide for other assets.”
“We are excited to add FeeX to our platform,” said Ken Fischer, Chief Technology Officer with CoastalOne. “Managing held-away retirement accounts has been a constant struggle, and FeeX provides the perfect solution. Both clients and advisors remark how intuitive and easy to use the system is. We’re looking forward to continuing our partnership’s growth, and being able to provide the best possible service to our clients.”
Earlier this year, FeeX has announced similar partnerships with Phoenix-based Priority Financial Group, Chicago-based Advyzon, Phoenix-based Dynamic Advisor Solutions, and Omaha-based Orion Advisor Solutions.
SEE ALSO:
• Orion, FeeX Team to Manage 401k and Other ‘Held-Away’ Assets