Traditional retail advisors
Institutional Direct is a process where investors gain direct access to having their money managed through an institutional money manager. Unlike retail advisors, Institutional Direct through Linden Thomas & Company gives each client the benefit of having assets managed directly.
Below details how retail investment advisors differ from Institutional Direct:
Steps of Retail Investment Advisors
- Investor has money to invest.
- Investor hires a financial advisor who charges a fee.
- Advisor invests in a mutual fund or other pooled products.
- Mutual fund pools investors, charging an annual fee and trading costs.
- Portfolio manager oversees the pool of assets (meeting the demands and various needs of each investor).
Steps of Linden Thomas & Company institutional direct
- The investor has money to invest.
- The investor hires Linden Thomas & Company to plan, build, and manage the portfolio directly.
As you can see, traditional financial advisors charge fees to then invest in third-party mutual funds where assets are pooled with other investors and managed by money managers that don't know the clients directly.
Linden Thomas & Company gives each investor direct access to portfolio management where assets are managed directly for each investor, taking away layers of fees and pricing disadvantages. This gives our clients both control and transparency.
Through Institutional Direct, our Linden Thomas & Company clients gain access to our team of financial planners and other industry experts but pay no additional cost. The Linden Thomas & Company difference is portfolio results are a direct correlation to how the portfolio is constructed.