A wealth advice firm is the first to outsource its portfolio administration functions to a new Praemium offering.
The new service builds on Praemium Portfolio, a reporting and performance analytics solution formerly known as V-Wrap, which integrates with Praemium SMA for investment management and reporting.
Perth-based financial advice and investment management firm, Merchant Group, is the first to use the enhanced investment portfolio and self-managed super fund administration service.
Merchant Group managing director Andrew Chapman said the ability to manage clients on one platform and outsource administration creates significant cost and time savings, freeing up time to focus on value-added services for clients.
Praemium chief executive Michael Ohanessian said the rise of managed accounts platforms is disrupting the use of collective structures, such as managed funds and master trusts, in favour of directly held securities. As a result, wealth managers will continue to hold direct securities off-platform as a key wealth creation strategy.
"Praemium's reporting capabilities with an administration overlay makes this strategy viable and efficient for advisers while delivering an intuitive digital experience through our feature rich investor portal," Ohanessian said.
J.P. Morgan was recently appointed to provide custody and equities execution services to the $7 billion platform's international separately managed accounts business.
As part of the deal, Praemium will have access to the bank's research, sales and trading execution through its equities business.
Praemium also expanded its SMA offering, adding 16 new model portfolios - eight with Shaw and Partners, four with Joseph Palmer, three with State Street and one Evans and Partners.
The total number of model portfolios available on Praemium SMA stands at 579.