“Most firms have the ability to do the equity side of the business, direct indexing and things like that,” he said. “We started on the fixed income side because it was more challenging, and we thought it would be more differentiating. Fixed income is always just harder to trade and execute.” The only other firm currently offering a similar custom fixed income SMA strategy is Morgan Stanley’s Parametric, said Jeff Strange, a relationship manager at FUSE Research. “This is basically their version of the Parametric platform to customize SMAs, and that’s where the next step is for the SMA industry,” he said. “The challenge is raising awareness and getting visibility for the platform and explaining how it works for advisors.”
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Article published on March 22, 2022