Investment Product and Service Launches

Northern Trust announces latest digital document capture feature; Adaptive Investments partners with WealthShield to manage portfolios; and Equitable adds managed accounts and cash balance plan to solutions for small businesses. 

Northern Trust Announces Latest Digital Document Capture Feature

Northern Trust has launched a machine learning-powered document capture capability as the foundation of a multi-year investment to digitize alternative asset servicing and enhance the experience for asset owner clients that invest in complex private market and unlisted assets.

Digital document capture enables Northern Trust to streamline historically manual workflows by automating the receipt and processing of alternative asset documents and fund manager reports on holdings and performance of hedge funds, private equity and other alternative assets. Northern Trust’s proprietary solution combines robotic process automation and cloud-based technology to provide transparency and data standardization that enables greater understanding of portfolio risk and performance. 

“As alternative asset classes continue to grow in importance to institutional investors, Northern Trust is committed to driving efficiency and reducing operational risk through the use of emerging technologies,” says Pete Cherecwich, president of corporate and institutional services at Northern Trust. “Digital document capture is a huge step forward, and only the start of our larger plan to enhance alternative asset servicing for the benefit of our clients.”

Automated document capture enables Northern Trust’s alternative asset servicing teams to focus on more strategic aspects of the process and reduces the need for manual intervention when coordinating saving, storage and categorization. Since alternative assets are often valued on only a monthly or quarterly basis, asset owners can also benefit from faster servicing of their assets and deeper data insight provided through artificial intelligence (AI). 

Adaptive Investments Partners with WealthShied to Manage Portfolios 

Adaptive Investments and WealthShield  have entered into agreement to manage and deliver SMART Portfolios and RISKHedge Portfolios in a collaborative effort. 

SMART Portfolios optimize strategic, opportunistic and tactical segments into a single portfolio deliverable.  SMART Portfolios are offered in five risk models, from conservative to aggressive, comprised of both ETFs and Mutual Funds.

RISKHedge Portfolios are tactical and designed to be added as a sleeve to a traditional portfolio.  The RISKHedge Portfolio is similar to the tactical segment of a SMART Portfolio.  RISKHedge Portfolios are also offered in five risk models, from conservative to aggressive, comprised of both ETFs and Mutual Funds.

“SMART Portfolios have delivered solid performance since their inception, roughly seven years ago,” says Gregory Rutherford, president & CEO of Adaptive Investments. “The SMART Portfolio unique structure, aligns with client expectations, providing benchmark like returns in up markets while mitigating risk in down markets. We focus efforts to consistently improve our portfolio solution.  We are excited and confidant that we can enhance portfolio risk adjusted returns, by incorporating Wealth Shield’s proprietary Market Valuation Framework (MVF).  And, we welcome the addition of WealthShield’s tremendous team of highly accredited investment professionals to the process”. 

“We are excited to join the Adaptive Investments team and help strengthen the SMART Portfolio and RISKHedge investment process,” adds Clint Sorenson, co-founder, WealthShield. “We have tremendous respect for what Adaptive has built and the unique portfolio design that has helped deliver some of the best portfolio returns in the marketplace.   By combining efforts, we are convinced that SMART Portfolios and RISKHedge Portfolios will continue to offer Financial Advisors, best in class, and differentiated portfolio solutions, for delivery to their clients.”

Equitable Adds Managed Accounts and Cash Balance Plan to Solutions for Small Businesses

Equitable has announced the addition of customized managed accounts and a cash balance plan to its group retirement plans for small to medium-sized businesses.

The firm notes that managed accounts provide an option for people looking for guidance in creating retirement plan allocations, with a customized portfolio for each plan participant based on their current age, location, contribution rate, marital status, gender and balance. Managed accounts can be further personalized by the participant online. This customization can be beneficial to helping retirement savers achieve their goals.

The new managed accounts will be provided through Stadion Money Management, an investment management firm and a 3(38) fiduciary. There are no minimum account balances for either plans or their participants.

“Extending increased customization and personalization in their 401(k) plans, along with advice and a full suite of employee benefits solutions is important to helping small business owners and their employees weather uncertainty and plan for their financial futures,” says Jessica Baehr, head of group retirement at Equitable.