With Assets in Managed Accounts Expected to Reach $11T by 2023,i Fidelity Institutional Launches FMAX to Help Advisory Firms Seize the Opportunity

Fidelity Managed Account XchangeSM (FMAX) delivers on what firms and advisors have been asking for – all in one place:

  • Investing solutions from leading asset managers and investment consulting from Fidelity;
  • Single point of contact for inquiries and issue resolution; and
  • Deep integrations with eMoney’s planning and Envestnet’s managed account technologies, simplified contracting and elimination of manual processes

BOSTON--()--Fidelity InstitutionalSM today announced the launch of FMAX, a comprehensive wealth management platform designed to help firms and their advisors grow their advisory business by streamlining how they manage their clients’ money. Announced last year, FMAX is beginning to roll out now to wealth management firms, including registered investment advisors, family offices and broker-dealer firms.

Investing Solutions from Leading Asset Managers

FMAX features an open architecture investment lineup from leading investment management companies with access to some of the most-adopted strategies in the industry and expect to continue expanding going forward. Fidelity Institutional Wealth Adviser LLC (FIWA) will conduct regular quantitative and qualitative research on the capabilities of investment managers, leveraging its proprietary “4 Pillar Rating Criteria” focused on Cost, Performance, Style Alignment, and People & Process Consistency.ii

“This is what advisors have been waiting for: one platform where they can develop a financial plan, create a proposal, invest, trade, generate reports – and access investment solutions, research and consulting,” said Gary Gallagher, head of Investment and Managed Solutions for Fidelity Institutional. “We’re delivering on their needs with industry-leading investment and technology solutions from eMoney and Envestnet and the award-winning service and support that they’ve come to expect from Fidelity.”iii

Investment Consulting from Fidelity

In addition to investment research capabilities, the FMAX platform also provides firms with consulting from Fidelity’s Portfolio Solutions Consulting team, including: practice-level investment consulting; strategist and separately managed account program consulting; unified managed account model construction consulting; and customized investor proposal support. Firms also receive customized insights based on Fidelity’s Asset Allocation Multi-Horizon research.

“Our research suggests that investors are increasingly looking to their advisors to help with the moments that matter most in their lives, not only selecting investments. We’re helping advisors streamline investing so that they can focus their time and energy on having those important conversations with their clients – particularly now,” said Gallagher.

When advisors are asked about the most important portfolio construction resources, the most common responses are asset allocation guidelines, capital markets assumptions, portfolio diagnostic tools, and investment product research and recommendations.iv In 2020 alone, Fidelity has worked with thousands of financial advisors on portfolio construction engagements and the insights gleaned from those engagements provide Fidelity with a distinct perspective.

“Fidelity’s broad set of services for advisors, including our forward-looking approach to portfolio construction, FMAX’s open architecture platform and FIWA’s research, insights and data analytics that support an advisor’s discussion with clients, provides a differentiated combination that can help advisors and their firms increase efficiency and potentially grow assets,” said Gallagher.

Single Point of Contact, Deep Technology Integrations, Simplified Processes

FMAX also delivers a simple and unified experience, including: a Fidelity-led service and support model with a single point of contact for inquiries and issue resolution; simplified contracting process for access to all third-parties on the platform; integrations with industry-leading tech providers, including eMoney and Envestnet, to enable efficient planning to action; and single sign-on and data pre-fill to help eliminate manual processes and potential errors.

For more information on FMAX, please visit our website or contact your Fidelity relationship manager.

About Fidelity Investments

Fidelity’s mission is to inspire better futures and deliver better outcomes for the customers and businesses we serve. With assets under administration of $8.8 trillion, including discretionary assets of $3.5 trillion as of September 30, 2020, we focus on meeting the unique needs of a diverse set of customers: helping more than 32 million people invest their own life savings, 22,000 businesses manage employee benefit programs, as well as providing more than 13,500 institutions with investment and technology solutions to invest their own clients’ money. Privately held for more than 70 years, Fidelity employs more than 45,000 associates who are focused on the long-term success of our customers. For more information about Fidelity Investments, visit www.fidelity.com/about-fidelity/our-company.

About FMAX and FIWA

Fidelity Institutional Wealth Adviser LLC (FIWA) is a registered investment adviser and an indirect, wholly- owned subsidiary of FMR LLC. FIWA is the sponsor of the Fidelity Managed Account XchangeSM program. FMAX is a comprehensive wealth management platform consisting of advisory tools, programs and services, and investment products from Fidelity and other leading asset managers. Some services are provided by affiliated and unaffiliated 3rd parties. FMAX offers robust Fidelity service & support and a simplified client experience, provides investment advisory and platform services for a fee, and is offered by FIWA, an affiliate of Fidelity Brokerage Services LLC and National Financial Services LLC. FMAX provides investment advisory and platform services for a fee. The FMAX Platform is not a brokerage product.

# # #

The content provided herein is general in nature and is for informational purposes only. This information is not individualized and is not intended to serve as the primary or sole basis for your decisions as there may be other factors you should consider. Fidelity Institutional℠ does not provide financial or investment advice. You should conduct your own due diligence and analysis based on your specific needs.

Third party marks are the property of their respective owners; all other marks are the property of FMR LLC. Third parties referenced herein are independent companies and are not affiliated with Fidelity Investments. Listing them does not suggest a recommendation or endorsement by Fidelity Investments.

eMoney Advisor LLC is a Fidelity Investments company and an affiliate of Fidelity Brokerage Services LLC and National Financial Services LLC.

Fidelity InstitutionalSM(FI) provides investment products through Fidelity Distributors Company LLC; clearing, custody, or other brokerage services through National Financial Services LLC or Fidelity Brokerage Services LLC, Members NYSE, SIPC; and institutional advisory services through Fidelity Institutional Wealth Adviser LLC.

951532.1.0

© 2020 FMR LLC. All rights reserved.

i The Cerulli Report U.S. Managed Accounts 2020
ii Fidelity Institutional Wealth Adviser LLC (“FIWA”) is a registered investment adviser and an indirect, wholly owned subsidiary of FMR LLC . FIWA is the sponsor of the FMAX platform.
iii Fidelity Institutional Quality Team won the 2019 Gold Best in Biz Award: Support Department of the Year. 2019 Best in Biz Awards are open to any company from any industry based in or operating in the U.S. or Canada. They are the only independent business awards program judged by members of the press and industry analysis. Winners were announced on November 27, 2019.
iv The Cerulli Report U.S. Asset Allocation Model Portfolios 2020

Contacts

Corporate Communications
(617) 563-5800
fidelitycorporateaffairs@fmr.com

Nicole Abbott
(201) 915-7548
nicole.abbott@fmr.com

Follow us on Twitter @FidelityNews

Release Summary

Fidelity Institutional launches Fidelity Managed Account Xchange (FMAX), a wealth management platform to help firms and advisors grow their business.

Contacts

Corporate Communications
(617) 563-5800
fidelitycorporateaffairs@fmr.com

Nicole Abbott
(201) 915-7548
nicole.abbott@fmr.com

Follow us on Twitter @FidelityNews