Direct or Through an Advisor
The Difference
Direct access, without the extra layer
Tax-aware long/short strategies are typically run by quantitative hedge funds that reach individual investors through advisors and platforms, with a fee at each layer. NinePointTwo works with you directly.
What Changes
Three things a direct relationship changes
01
One fee, not two
A single management fee for the strategy, instead of an advisory fee layered on top of the manager's fee.
02
You talk to the team running the strategy
No relationship layer in between. You deal directly with the people who build the models and manage the book.
03
Your account, customized to you
Leverage, tracking error, tax modeling, and benchmarks are set around your circumstances, not chosen from a standard menu.
Fee levels vary by firm and by mandate, so the point here is the number of layers charged against the assets rather than the total cost of either arrangement. Custody, execution, and financing costs arise in both. Our fee terms are set out in our Form ADV.
FAQ
Common Questions
Does this replace a financial advisor?
It can. We provide wealth management and financial planning alongside the strategies we run, as a fee-only fiduciary. Some clients consolidate everything with us, and others keep an advisor they already work with.
Is going direct always cheaper?
Not automatically. Fee levels vary on both sides, so any comparison depends on the specific terms. The structural difference is that a direct relationship carries one fee against the assets rather than two.
Why do most managers require an advisor?
It reflects how those firms are built rather than any rule. A quantitative hedge fund is set up for a small number of very large relationships, not for serving individual clients, so it distributes through advisors and platforms instead.
Can my existing advisor stay involved?
Yes, and many clients prefer it. We work alongside an advisor, accountant, or estate attorney already in place.
Disclosures
This page is a general comparison of two ways of accessing investment strategies and is provided for informational purposes only. It does not describe any specific advisor, platform, or manager, and arrangements vary. Nothing here is investment, tax, or legal advice, and nothing here is a recommendation to end an advisory relationship. Investing involves substantial risk, including the possible loss of principal. Tax-aware long/short strategies involve unique risks, including short selling and leverage, and may not be suitable for all investors. The effectiveness of tax management strategies depends on individual taxpayer circumstances and may vary. Past performance is not indicative of future results. See our Disclosures page for additional important information.
Contact
Talk directly with the team
A conversation with NinePointTwo is a conversation with the people who design and run the strategies. An existing advisor is welcome in it.