Wrap Fee

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Dictionary Says

Definition of 'Wrap Fee'

A comprehensive charge levied by an investment manager or investment advisor to a client for providing a bundle of services, such as investment advice, investment research and brokerage services. Wrap fees allow an investment advisor to charge one straightforward fee to their clients, simplifying the process for both the advisor and the customer.

Investopedia Says

Investopedia explains 'Wrap Fee'

Wrap fees are generally set up to be a percentage of the assets under management. The wrap fee is intended to provide payment for all the direct services the customer receives, as well as cover the administrative costs incurred by the investment firm.

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'Wrap Fee'

  • The Rap On Wrap Fees For Retirement Accounts

    http://www.investopedia.com/articles/retirement/05/051605.asp
    If your retirement account is managed under a wrap fee program, you need to consider
    whether you should pay the fee out of your retirement account balance or ...

  • Series 65 Study Guide - Client Communication and Compensation ...

    http://www.investopedia.com/exam-guide/series-65/communication-compensation/special-disclosure-requirements.asp
    Investopedia's Series 65 online Study Guide. In this section wrap
    fee (wrap account) programs and form 13f disclosure. ...

  • Wrap Accounts: A Gift Of Advice?

    http://www.investopedia.com/articles/pf/05/042705.asp
    ... These fairly straightforward concepts become problematic when applied to the
    traditional fee-based brokerage (wrap) account because it was classified as a non ...

  • Series 66 Study Guide - Client Communication and Compensation ...

    http://www.investopedia.com/exam-guide/series-66/client-communication-compensation-issues/default.asp
    ... written consent. Wrap fee (or wrap account) programs require a special
    disclosure form instead of the Form ADV Part II. For these ...

  • Uncovering The ETF Wrap

    http://www.investopedia.com/articles/mutualfund/05/ETFwrap.asp
    ... When the wrap fee is factored out, the cost difference comes down to the expense
    ratios of the underlying investments, and the ETFs really shine. ...

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

    http://www.investopedia.com/articles/05/020105.asp
    ... The definition of wrap account was created to refer to a product offering a multitude
    of services "wrapped" in a single fee. When the wrap business was a ...

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

    http://www.investopedia.com/ask/answers/102.asp
    ... Because the wrap account is charged a flat annual fee, the most you can be charged
    is the fixed percentage, usually 1-3%, of your account's assets. ...

  • Series 7 Study Guide - Customer Accounts - Costs And Fees ...

    http://www.investopedia.com/exam-guide/series-7/customer-accounts/costs-and-fees.asp
    ... and asset management fee. The greater the amount of assets under management,
    typically, the lower the wrap fee that is charged. ...

  • That's A (Mutual Fund) Wrap!

    http://www.investopedia.com/articles/mutualfund/05/050305.asp
    ... The fee-based compensation reduces concerns about the objectivity of the advisor's
    recommendations ... money products, such as some of those introduced in Wrap It Up ...

  • What is financial double-dipping?

    http://www.investopedia.com/ask/answers/09/double-dipping.asp
    ... commission and the fee. The financial industry has seen a tremendous increase
    in managed fee-based accounts like wrap accounts. In a wrap ...

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