Mutual Fund Wrap

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Definition of 'Mutual Fund Wrap'

Also known as a mutual fund advisory program or a wrap account, these programs give investors access to a large pool of mutual funds for one annual fee (usually between 0.5\% and 2\%). In other words, that one fee is supposed to "wrap around" all your mutual fund activity, giving you a clear picture of what is paid to your broker or financial advisor. These mutual fund wrap programs are most often offered by full-service brokerage houses to give customers another pricing option besides paying an upfront commission or surrender charges.

Investopedia Says

Investopedia explains 'Mutual Fund Wrap'

While mutual fund wrap accounts may seem like a transparent way of managing your mutual fund costs, most investors miss a major facet. In most instances, the wrap fee only covers the services provided by your broker, not the actual management fees of the mutual fund itself. These management expenses can range from just a few basis points to 1-1.5% annually, putting your total combined cost as high as 2-3%.

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'Mutual Fund Wrap'

  • That's A (Mutual Fund) Wrap!

    http://www.investopedia.com/articles/mutualfund/05/050305.asp
    That's A (Mutual Fund) Wrap! ... To ease this burden, the industry has created the mutual
    fund advisory program, also known as the mutual fund wrap. ...

  • Uncovering The ETF Wrap

    http://www.investopedia.com/articles/mutualfund/05/ETFwrap.asp
    ... ETF wraps charge an additional layer of fees to cover trading, administration
    and so forth, but so do mutual fund wrap programs. ...

  • What is a wrap account and what are the advantages of using one?

    http://www.investopedia.com/ask/answers/102.asp
    ... their funds. A mutual fund wrap account is a basket of mutual funds that
    caters to the investment goals of the investor. The advent ...

  • Wrap It Up: The Terms And Benefits Of Managed Money

    http://www.investopedia.com/articles/05/020105.asp
    ... (For further reading, see The Quest To Build A Unified Managed Account.);
    Mutual-Fund Advisory Programs The term "mutual fund wrap" has largely been replaced ...

  • Series 26 Study Guide - Investment Companies - WRAP Accounts ...

    http://www.investopedia.com/exam-guide/series-26/investment-companies/wrap-accounts.asp
    ... Investment Companies; 1.7 WRAP Accounts; 1.8 Structure, Management and Operation
    of Mutual Funds; 1.9 Types of Investment Companies; 1.10 Mutual Fund Pricing; 1.11 ...

  • Mutual Fund Style Drift Not Always A Bad Thing

    http://www.investopedia.com/articles/mutualfund/07/fund-style-drift.asp
    ... Wrap Up Mutual fund style drift can be a problem for fund diversification and for
    those investors who strive to have very consistent style percentages. ...

  • Series 26 Study Guide - Mutual Fund Accounts - Opening a New ...

    http://www.investopedia.com/exam-guide/series-26/mutual-fund-accounts/opening-account.asp
    ... Mutual Fund Accounts - Opening a New Account and Account Types. Opening a
    New Account Every new account requires a new account form. ...

  • Series 26 Study Guide - Mutual Fund Accounts - Introduction ...

    http://www.investopedia.com/exam-guide/series-26/mutual-fund-accounts/default.asp
    ... Investment Companies; 1.7 WRAP Accounts; 1.8 Structure, Management and Operation
    of Mutual Funds; 1.9 Types of Investment Companies; 1.10 Mutual Fund Pricing; 1.11 ...

  • Series 26 Study Guide - Mutual Fund Accounts - Types of Account ...

    http://www.investopedia.com/exam-guide/series-26/mutual-fund-accounts/types-account-agents.asp
    ... Mutual Fund Accounts - Types of Account Agents. Fiduciary A fiduciary is
    a person other than the owner who is legally appointed and ...

  • Series 26 Study Guide - Mutual Fund Accounts - Benefits of Mutual ...

    http://www.investopedia.com/exam-guide/series-26/mutual-fund-accounts/benefits.asp
    ... Investment Companies; 1.7 WRAP Accounts; 1.8 Structure, Management and Operation
    of Mutual Funds; 1.9 Types of Investment Companies; 1.10 Mutual Fund Pricing; 1.11 ...

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